Elsa and Anna operate a business that manufactures frozen foods. They are preparing a cash budget for the second quarter of 2020. Because of COVID-19 they slower cash collections than normal. 10% of sales will be collected in the month of the sale, 80% will be collected in the month after, and 10% they expect will not be collected at all.

1) Calculate the total cash receipts for April, using the following information.

Sales:

March $90,000

April $80,000

May $70,000

June $65,000

Do not include decimals, commas, or dollar signs. Enter a rounded whole number only.

2) Calculate the total cash receipts for June.

3) Calculate the accounts receivable balance at June 30. Assume only the 80% amount collected in the following month is recorded in AR.