1. Getty Company expects sales for the first three months of next year to be $195,000, $230,000 and $280,000, respectively. Getty expects 40 percent of its sales to be cash and the remainder to be credit sales. The credit sales will be collected as follows: 10 percent in the month of the sale and 90 percent in the following month. Compute a schedule of Gettys cash receipts for the months of February and March.

	February	March
Budgeted cash receipts

2.

Lindell Company made direct material purchases of $50,800 and $62,800 in September and October, respectively. The company pays 60% of its purchases in the month of purchase and 40% is paid in the following month.

How much cash was paid for purchases in October?

3.Crew Clothing (CC) sells womens resort casual clothing to high-end department stores and in its own retail boutiques. CC expects sales for January, February, and March to be $490,000, $550,000, and $570,000, respectively. Twenty percent of CCs sales are cash, with the remainder collected evenly over two months. During December, CCs total sales were $800,000. CC is beginning its budget process and has asked for your help in preparing the cash budget. Compute CCs expected cash receipts from customers for each month.

	Jan	Feb	March
budgeted cash receipts