E8-11 (Algo) Calculating Cash Receipts [LO 8-4]

Shadee Corporation expects to sell 620 sun shades in May and 370 in June. Each shades sells for $14. Shadees beginning and ending finished goods inventories for May are 70 and 45 shades, respectively. Ending finished goods inventory for June will be 60 shades.

It expects the following unit sales for the third quarter:

July	515
August	490
September	450

Sixty percent of Shadees sales are cash. Of the credit sales, 52 percent is collected in the month of the sale, 39 percent is collected during the following month, and 9 percent is never collected.

Required:

Calculate Shadees total cash receipts for August and September.