Exercise 8-1 Schedule of Expected Cash Collections[LO2] [The following information applies to the questions displayed below.]Midwest Products is a wholesale distributor of leaf rakes. Thus, peak sales occur in August of eachyear as shown in the company?s sales budget for the third quarter, given below: From past experience, the company has learned that 20% of a month?s sales are collected in themonth of sale, another 70% are collected in the month following sale, and the remaining 10% arecollected in the second month following sale. Bad debts are negligible and can be ignored. Maysales totaled $401,000, and June sales totaled $513,000. Exercise 8-1 Part 1Required:1. Prepare a schedule of expected cash collections from sales, by month and in total, for the thirdquarter. (Do not round intermediate calculations. Leave no cells blank - be certain to enter0 wherever required. Omit the $ sign in your response.) 2. Assume that the company will prepare a budgeted balance sheet as of September 30. Computethe accounts receivable as of that date. (Do not round intermediate calculations. Omit the $sign in your response.)Total accounts receivable $