Exercise 10-12

Mississippi Retailers expects credit sales in the next quarter as follows:

April		$89,600
May		80,800
June		107,000

Prior experience has shown that 61 percent of a months sales are collected in the month of sale, 24 percent are collected in the month following sale, and the remaining 15 percent are collected in the second month following sale. February and March sales were $90,200 and $102,000, respectively.

Estimate budgeted cash receipts for April,May, and June.

Collection of Credit Sales	April	May	June
Collection of February Sales	$	$	$
Collection of March Sales	$	$	$
Collection of April Sales	$	$	$
Collection of May Sales	$	$	$
Collection of June Sales	$	$	$
	$	$	$