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Ewing Company is preparing a cash budget for September. The following information on accounts receivable collections is available from past collection experience. Percent of current

Ewing Company is preparing a cash budget for September. The following information on accounts receivable collections is available from past collection experience.

Percent of current months sales collected this month 30 %
Percent of prior months sales collected this month 55
Percent of sales two months prior to current month collected this month 9
Percent of sales three months prior to current month collected this month 2

The remaining 4 percent is not collected and is written off as bad debts. Credit sales to date are as follows.

Septemberestimated $ 300,000
August 270,000
July 260,000
June 310,000

Required:

What are the estimated cash receipts from accounts receivable collections in September?

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