Question 7 Not complete Marked out of 1930 Cash collections Ridenour Ltd. is preparing its first-quarter monthly cash budget for Year 4. The following information is available about actual Year 3 sales and expected Year 4 sales: November December January February March $182,600 $167,200 $173.800 $191.600 $129,000 Tracing collections from prior year monthly sales and discussions with the credit manager helped develop a profile of collection behavior patterns. Of a given month's sales, 40 percent is typically collected in the month of sale. Because the company terms are 1 percent (end of month) net 30, all collections within the month of sale are net of the 1 percent discount. Of a given month's sales, 30 percent is collected in the month following the sale. The remaining 30 percent is collected in the second month following the month of the sale. Bad debts are negligible and should be ignored. a. Prepare a schedule of cash collections for Ridenour Ltd. for January, February, and March of Year 4. Note: Enter amounts rounded to the nearest whole dollar. Cash Collections January Now sales S Dec sales Jan sales Feb. sales February March 05 05 0 0 D 0 0 0 05 05 0 Marsales Total collections S b. Calculate the Accounts Receivable balance at March 31, Year 4.50 Type here to search 82F 11:47 PM 1/2/2022