Academic Learning had prepared the following sales budget, schedule of budgeted cash receipts, and cash budget for 2019:

Academic Learning
Sales Budget
For the Year Ended December 31, 2019
	First	Second	Third	Fourth
	Quarter	Quarter	Quarter	Quarter	Total
Budgeted tablets to be sold	550	350	1,600	500	3,000
Sales price per unit	$550	$550	$550	$550	$550
Total sales	$302,500	$192,500	$880,000	$275,000	$1,650,000

Schdule of Cash Receipts from Customers
		First	Second	Third	Fourth
		Quarter	Quarter	Quarter	Quarter	Total
Total sales		$302,500	$192,500	$880,000	$275,000	$1,650,000
		First	Second	Third	Fourth
		Quarter	Quarter	Quarter	Quarter	Total
Cash Receipts from Customers:
Accounts Receivable balance, December 31, 2018		$22,000
1st Qtr.—Cash sales (20%)		60,500
1st Qtr.—Credit sales (80%), 40% collected in 1st qtr.		96,800
1st Qtr.—Credit sales (80%), 60% collected in 2nd qtr.			$145,200
2nd Qtr.—Cash sales (20%)			38,500
2nd Qtr.—Credit sales (80%), 40% collected in 2nd qtr.			61,600
2nd Qtr.—Credit sales (80%), 60% collected in 3rd qtr.				$92,400
3rd Qtr.—Cash sales (20%)				176,000
3rd Qtr.—Credit sales (80%), 40% collected in 3rd qtr.				281,600
3rd Qtr.—Credit sales (80%), 60% collected in 4th qtr.					$422,400
4th Qtr.—Cash sales (20%)					55,000
4th Qtr.—Credit sales (80%), 40% collected in 4th qtr.					88,000
Total cash receipts from customers		$179,300	$245,300	$550,000	$565,400	$1,540,000
Accounts Receivable balance, December 31, 2019:
4th Qtr.—Credit sales (80%), 60% collected in 1st qtr of 2020			$132,000

Academic Learning
Cash Budget
For the Year Ended December 31, 2019
		First	Second	Third	Fourth
		Quarter	Quarter	Quarter	Quarter	Total
Beginning cash balance		$38,000	$35,575	$35,680	$35,525	$38,000
Cash receipts		179,300	245,300	550,000	565,400	1,540,000
Cash available		217,300	280,875	585,680	600,925	1,578,000
Cash payments:
Capital expenditures		40,000	40,000	40,000	40,000	160,000
Purchases of direct materials		33,280	146,880	172,440	139,320	491,920
Direct labor		14,080	38,400	88,320	33,280	174,080
Manufacturing overhead		97,640	100,300	105,760	99,740	403,440
Selling and administrative expenses		59,725	58,625	65,500	59,450	243,300
Income taxes		3,000	3,000	3,000	3,000	12,000
Interest expense		0	990	3,135	2,055	6,180
Total cash payments		247,725	388,195	478,155	376,845	1,490,920
Ending cash balance before financing		(30,425)	(107,320)	107,525	224,080	87,080
Minimum cash balance desired		(35,000)	(35,000)	(35,000)	(35,000)	(35,000)
Projected cash excess (deciency)		(65,425)	(142,320)	72,525	189,080	52,080
Financing:
Borrowing		66,000	143,000	0	0	209,000
Principal repayments		0	0	(72,000)	(137,000)	(209,000)
Total effects of financing		66,000	143,000	(72,000)	(137,000)	0
Ending cash balance		$35,575	$35,680	$35,525	$87,080	87,080

Academic Learning decided to revise its sales budget to show fourth quarter sales of 650 tablets due to the expectation of increased holiday sales.

Suppose a change in the receipt of cash from sales on account is as follows:

Requirement 1. Revise the schedule of budgeted cash receipts to include the increase in fourth quarter sales and the change in the timing of customer receipts. (If a box is not used in the table, leave the box empty; do not enter a zero. Round your answers to the nearest dollar.)

Requirement 2. How will the changes in cash receipts affect the cash budget?

Academic Learning Sales Budget For the Year Ended December 31, 2019 First Second Third Fourth Quarter Quarter Quarter Quarter Total 650 550 550 S 1,600 550 S Budgeted tablets to be sold 350 3,150 Sales price per unit $ 550 S 550 S 550 302,500 S 192,500 S 880,000 S 357,500 $ 1,732,500 Total sales