Dawes Designs buys T-shirts for clubs, teams, and other organizations. Dawes takes the shirts and adds the organization's logo. Because of the uncertainty in the timing of the sales and to avoid stock outages, Dawes tries to maintain an inventory of shirts equal to two-month's of sales. The shirts cost $18.50 each and must be paid for in cash. On June 30 of the current year, the company expects to have 16,800 shirts in stock. Sales estimates, based on contracts received and historical data, are as follows for the next six months: July 8,220 August 11,190 September 8,660 October 9,210 November 6,680 December 5,360 Required: a. & b. Estimate purchases (in units) and cash required to make purchases in July, August, and September. DAWES DESIGNS Merchandise Purchases Budget For the Period Ended March 31 Units to be purchased Estimated cost (in units) July August September Hackett Produce Supply is preparing its cash budget for April. The following information is available: Estimated credit sales for April Actual credit sales for March Estimated collections in April for credit sales prior to March Estimated write-offs in April for uncollectible credit sales Estimated provision for bad debts in April for credit sales in April Estimated collections in April for credit sales in April Estimated collections in April for credit sales in March Required: What is the estimated amount of cash receipts from accounts receivable collections in April? Estimated cash receipts $ 258,000 $ 157,500 $ 15,000 $ 10,920 $ 9,930 25% 70%