Silver Company makes a product that is very popular as a Mother's Day gift. Thus, peak sales occur in May of each year, as shown inDown Under Products, Limited, of Australia has budgeted sales of its popular boomerang for the next four months as follows:

The company is now in the process of preparing a production budget for the second quarter. Past experience has shown that end$-$of$-$

month inventory levels must equal $10\%$ of the following month's unit sales. The inventory at the end of March was $8,600$ units.

Required:

Prepare a production budget by month and in total, for the second quarter.

the company's sales budget for the second quarter given below:

From past experience, the company has learned that $20\%$ of a month's sales are collected in the month of sale, another $75\%$ are

collected in the month following sale, and the remaining $5\%$ are collected in the second month following sale. Bad debts are negligible

and can be ignored. February sales totaled $$270,000,$ and March sales totaled $$300,000.$

Required:

Prepare a schedule of expected cash collections from sales, by month and in total, for the second quarter.

What is the accounts receivable balance on June $30$th$?$

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Prepare a schedule of expected cash collections from sales, by month and in total, for the second quarter.