Ed's Waterbeds has made the following sales projections for the next six months. All sales are credit sales. March April May $12,000 June 16,000 July 10,000 August $14,000 17,000 18,000 Sales in January and February were $13,500 and $13,000 respectively. Experience has shown that 10 percent of total sales are uncollectible, 30 percent are collected in the month of sale, 40 percent are collected in the following month, and 20 percent are collected two months after sale. a. Prepare a monthly cash receipts schedule for the firm for March through August. Ed's Waterbeds Cash Receipts Schedule February March $ 25 January April August $ 2555 $ 12 7531 L 125 12 968 987 Sales Collections of current sales Collections of prior month's sales Collections of sales 2 months earlier Total cash receipts 122 951 456 384 681 4500 297 1888 125 357 357 5800 $ 23 458 $ $ $ Check my work View previous attempt Sales in January and February were $13,500 and $13,000 respectively. Experience has shown that 10 percent of total sales are uncollectible, 30 percent are collected in the month of sale, 40 percent are collected in the following month, and 20 percent are collected two months after sale. a. Prepare a monthly cash receipts schedule for the firm for March through August. Ed's Waterbeds Cash Receipts Schedule February March $ 25 $ April May June July August January $ 2555 12 753 8 15 122 951 $ $ 125 987 Sales Collections of current sales Collections of prior month's sales Collections of sales 2 months earlier Total cash receipts THE 456 384 122 125 357 681 297 357 5800| $ 1888 $ 458 $ 4500 $ b. Of the sales expected to be made during the six months from March to August, how much will still be uncollected at the end of August? How much of this is expected to be collected later? Uncollected Expected to be collected Amount $ 22900 $ 14200