COM UMAVUTWIT yum uduy Spring 2020 Test 2 View Insert Format Tools Add ons Help 100% - Normal text - Calibel All changes saved in Drive 11. BIVA OD E F EIE . E EE 5. The Westwood Cycle Company expects to start operations on July 1, 2020 and will sell bicycles out of its store that it recently leased in the town center. Westwood Cycle has budgeted sales for the month of July to be $12,000 of which 30 percent will be cash sales and 70 percent will be sales on account. Westwood Cycle expects a 15 percent increase in sales per month for August and September with the ratio of cash sales to sales on account remaining stable for each month. Westwood Cycle normally collects 100 percent of sales on account in the month following the month of sale. Required: a. Prepare the sales budget for the months of July through September in a format similar to below. b. What is the amount of sales revenue that Westwood Cycle will report on its pro forma income statement for the three months ended September 30? c. Determine the amount of accounts receivable the company will report on its third quarter pro forma balance sheet. Sales Budget July August Augus September Cash Sales Sales on Account Total Budgeted Sales Schedule of Cash Receipts Current Cash Sales Collections from Sales on Account Total Budgeted Cash Receipts