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The following is a schedule of the projected unit sales of Western Company, which manufactures casual wear. Each unit sells for $25. The company began the period with a beginning accounts receivable balance of $10,000. Choose the correct answer from the options provided. Quarter FirstSecondThirdFourth Year Budgeted unit sales1,5001,3001,4001,300 5,500 Percentage of sales collected in the quarter of the sale75% Percentage of sales collected in the quarter after the sale25% Knowledge Check 01 What is the amount of budgeted sales revenue for the fourth quarter

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MrRoyal

Answer:

The amount budgeted for the fourth quarter is $32,500

Step-by-step explanation:

Given

Unit sell = $25

Quarter

First Second Third Fourth

Budgeted unit sales 1,500 1,300 1,400 1,300

Before Percentage Sales = 75%

After Percentage Sales = 25%

Amount budgeted sales revenue for the fourth quarter is calculated as follows;

Amount = Budgeted unit sales * unit sell

Where Budgeted unit sale for the fourth quarter is 1,300

So, Amount = 1,300 *.$25

Amount = $32,500

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