A Tokyo clothing wholesaler was preparing its sales budget for the first quarter of 2012. Forecast sales are: January: 207,000 February: 221,000 March: 246,000

Sales are 30 percent cash and 70 percent credit. Sixty- five percent of the credit accounts are collected in the month of sale, 25 percent in the month following the sale, and 10 percent in the following month. No uncollectible accounts are anticipated. Accounts receivable at the beginning of 2012 are 114 million (10 percent of November credit sales of 130 million and 65 percent of December credit sales of 156 million). a)Prepare a schdule sales sales for January, Februrary and March 2012.

b) Prepare a schedule showing cash collections for January, February, and March 2012.