Question

"The calculation of cash receipts requires a breakout of cash and credit sales and collections history.

A True
B False"

Answer 1

The calculation of cash receipts requires analyzing cash and credit sales, as well as collections history.

Step-by-step explanation:

The subject of this question is Business and it is appropriate for High School level.

To calculate cash receipts, it is important to analyze the cash and credit sales as well as the collections history. Cash receipts refer to the money received by a business from its customers. Cash sales are transactions where customers pay with cash at the time of purchase, while credit sales are transactions where customers make a purchase on credit and pay at a later date. Collections history allows a business to track and record the payments received on credit sales.

For example, if a business has $500 in cash sales and $300 in credit sales, the total cash receipts would be $800.