Silver Company makes a product that is very popular as a Mothers Day gift. Thus, peak sales occur in May of each year, as shown in the companys sales budget for the second quarter given below:

	April	May	June	Total
Budgeted sales (all on account)	$ 310,000	$ 510,000	$ 160,000	$ 980,000

From past experience, the company has learned that 25% of a months sales are collected in the month of sale, another 60% are collected in the month following sale, and the remaining 15% are collected in the second month following sale. Bad debts are negligible and can be ignored. February sales totaled $240,000, and March sales totaled $270,000.

Required:

1a. Prepare a schedule of expected cash collections from sales, by month and in total, for the second quarter.

	April	May	June	Total
February sales	?	?	?
March sales	?	?	?
April sales	?	?	?
May sales	?	?	?
June sales	?	?	?
Total cash collections

1b. What is the accounts receivable balance on June 30th?

Total accounts receivable at June 30

?