Shadee Corporation's Cash Receipts Analysis
Calculation of Shadee Corporation's Cash Receipts:
- Total sales in August = (60% of May sales) + (37% of June credit sales)
- Cash sales = 60% of May sales = 0.60 * 560 shades
- Credit sales collected in August = 37% of June credit sales = 0.37 * 370 shades
- Total cash receipts in August = Cash sales + Credit sales collected in August
2. September Cash Receipts:- Credit sales collected in September = 52% of June credit sales
- Total cash receipts in September = Credit sales collected in September
Let's calculate the values:
1. August Cash Receipts:- Cash sales = 0.60 * 560 shades = 336 shades
- Credit sales collected in August = 0.37 * 370 shades = 137 shades
- Total cash receipts in August = Cash sales + Credit sales collected in August
= 336 shades + 137 shades
= 473 shades
2. September Cash Receipts:- Credit sales collected in September = 0.52 * 370 shades = 192 shades
- Total cash receipts in September = Credit sales collected in September
Therefore, Shadee Corporation's total cash receipts for August and September are:
- August: $473 (rounded to the nearest whole dollar)
- September: $192 (rounded to the nearest whole dollar)