Exercise 2) Accountaholics Corp. expects service revenue in the next 6 months as follows: August September October May June July Prior experience has shown that the following collections are made: $716,000 $735,000 $799,000 $815,000 $807,000 $848,000 25 percent of a month's revenue is collected in the month the service is performed 24.5 percent in the month following the service being performed 16.6 percent in the second month following the service being performed 15.1 percent in the third month following the service being performed 5.6 percent in the fourth month following the service being performed Remainder is collected in the fifth month following the service being performed March and April service revenues were $765,000 and $740,000 respectively. Required: Estimate budgeted cash receipts (service revenue collected) for August, September, and October.

Exercise 2) Accountaholics Corp. expects service revenue in the next 6 months as follows: Prior experience has shown that the following collections are made: - 25 percent of a month's revenue is collected in the month the service is performed - 24.5 percent in the month following the service being performed - 16.6 percent in the second month following the service being performed - 15.1 percent in the third month following the service being performed - 5.6 percent in the fourth month following the service being performed - Remainder is collected in the fifth month following the service being performed March and April service revenues were $765,000 and $740,000 respectively. Required: Estimate budgeted cash receipts (service revenue collected) for August, September, and October. Exercise 2) Accountaholics Corp. expects service revenue in the next 6 months as follows: Prior experience has shown that the following collections are made: - 25 percent of a month's revenue is collected in the month the service is performed - 24.5 percent in the month following the service being performed - 16.6 percent in the second month following the service being performed - 15.1 percent in the third month following the service being performed - 5.6 percent in the fourth month following the service being performed - Remainder is collected in the fifth month following the service being performed March and April service revenues were $765,000 and $740,000 respectively. Required: Estimate budgeted cash receipts (service revenue collected) for August, September, and October