Scare-2-B-U (S2BU) specializes in costumes for all occasions. The average price of each of its costumes is $240. For each occasion, S2BU receives a 20 percent deposit two months before the occasion, 50 percent the month before, and the remainder on the day the costume is delivered. Based on information at hand, managers at S2BU expect to make costumes for the following number of occasions during the coming months:
April 75
May 45
June 30
July 60
August 75
September 165
Required:
a. What are the expected revenues for S2BU for each month, April through September? Revenues are recorded in the month of the occasion.
b. What are the expected cash receipts for each month, April through July?
Answers: 3
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Scare-2-B-U (S2BU) specializes in costumes for all occasions. The average price of each of its costu...
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