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# The Litzenberger Company has projected the following quarterly sales amounts for the coming year: Q1 Q2 Q3 Q4 Sales \$ 730 \$ 760 \$ 840 \$ 920 a.

 The Litzenberger Company has projected the following quarterly sales amounts for the coming year:

 Q1 Q2 Q3 Q4 Sales \$ 730 \$ 760 \$ 840 \$ 920

 a. Accounts receivable at the beginning of the year are \$320. Litzenberger has a 45-day collection period. Calculate cash collections in each of the four quarters by completing the following: (Do not round intermediate calculations and round your answers to 2 decimal places (e.g., 32.16). Negative amounts should be indicated by a minus sign.)

 Q1 Q2 Q3 Q4 Beginning receivables \$ \$ \$ \$ Sales 730 760 840 920 Cash collections Ending receivables \$ \$ \$ \$

 b. Recalculate the cash collections with a collection period of 60 days. (Do not round intermediate calculations and round your answers to 2 decimal places (e.g., 32.16). Negative amounts should be indicated by a minus sign.)

 Q1 Q2 Q3 Q4 Beginning receivables \$ \$ \$ \$ Sales 730 760 840 920 Cash collections Ending receivables \$ \$ \$ \$

 c. Recalculate the cash collections with a collection period of 30 days. (Do not round intermediate calculations and round your answers to 2 decimal places (e.g., 32.16). Negative amounts should be indicated by a minus sign.)

 Q1 Q2 Q3 Q4 Beginning receivables \$ \$ \$ \$ Sales 730 760 840 920 Cash collections Ending receivables \$ \$ \$ \$

a.45-day
collection
period. Q1 Q2 Q3 Q4 Beginning
320
receivables 365 380 420 760 840 920 -745 -800 -880 Sales 730 Cash
-685
collections collection
=Begining
receivable+ 320+(730* 365+(760*45...

Answer a AR Collection period = 45 days i.e 1.5 months Q1 Q2 Q3 Q4 Beginning Receivables \$290 \$355 \$370 \$410 Sales \$710 \$740... View the full answer

Working on your question am an expert in this area..would you mind posting it in... View the full answer

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