he following data has been provided for Percy Pie Company

	June	July	August	September
Credit Sales	$98 000	$105 000	$102 000	$110 000

Credit sales are normally settled:

50% in the month of the sale,

40% in the month after the sale, and

10% in the 2^nd (second) month after the sale

1. Calculate the total expected collections from customers for the month of August

2. Calculate the total expected collections from customers for the month of September

3. What is the purpose of preparing the above schedule of receipts from accounts receivable?