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Exercise 9-18 Cash Receipts Budget

Thirst Quencher sells plastic water bottles to outdoor enthusiasts for $1.25 each. The company's marketing manager prepared the followingsales forecast(in units) for the first half of the year:

Historically, the cash collection of sales has been as follows: 55 percent of sales collected in month of sale, 35 percent of sales collected in month following sale, and 9 percent of sales collected in second month following sale. The remaining 1 percent is never collected because customers do not pay.

Required:

For the following task, round the per unit answers to the nearest cent, if required.

Prepare a cash receiptsbudgetfor each month of the second quarter (April, May, and June).

Thirst Quencher Cash Receipts Budget
Month	Sales	April	May	June
February	$	$
March	$	$	$
April	$	$	$	$
May	$		$	$
June	$			$
Total cash receipts from sales		$	$	$