Exercise $8-1($Algo$)$ Schedule of Expected Cash Collections $[$LO$8-2]$

Silver Company makes a product that is very popular as a Mother's Day gift. Thus, peak sales occur in May of each year, as shown in

the company's sales budget for the second quarter given below:

From past experience, the company has learned that $20\%$ of a month's sales are collected in the month of sale, another $60\%$ are

collected in the month following sale, and the remaining $20\%$ are collected in the second month following sale. Bad debts are

negligible and can be ignored. February sales totaled $$390,000,$ and March sales totaled $$420,000.$

Required:

Prepare a schedule of expected cash collections from sales, by month and in total, for the second quarter.

What is the accounts receivable balance on June $30$th$?$

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Prepare a schedule of expected cash collections from sales, by month and in total, for the second quarter.