Estimate Cash Collections ;

Nassau Products is preparing a cash budget for April. The following information on accounts receivable collections is available from past collection experience:

Required What are the estimated cash receipts from accounts receivable collections in April?

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Percent of current month's sales collected this month Percent of prior month's sales collected this month Percent of sales two months prior to current month collected this month Percent of sales three months prior to current month collected this month 28% 60 6 3 The remaining 3 percent is not collected and is written off as bad debts. Credit sales to date are: April-estimated March February January $150,000 135,000 120,000 142,500