Schedule of cash collections of accounts receivable

Pampered Pal Inc., a pet supplies distributor, was organized on January $1.$ Projected sales for each of the first three months of operations are as follows:

Month Amount

January $$340,000$

February $480,000$

March $690,000$

All sales are on account. Collections are expected as follows: $59\%$ of sales are expected to be collected in the month of the sale, $37\%$ in the month following the sale, and the remainder in the second month following the sale.

Prepare a schedule indicating cash collections from sales for January, February, and March.Pampered Pal Inc.

Schedule of Cash Collections from Sales

For the Three Months Ending March $31$