Silver Company makes a product that is very popular as a Mother's Day gft. Thus, peak sales occur in May of each year, as shown in the company's sales budget for the second quarter given below: Apri $420,000 May $620,000 June Total Budgeted sales (ll on account) $240,000 $1,280,000 From past experience, the company has leaned that 20% of a month's sales are collected in the month of sale, another 65 % are collected in the month following sale, and the remaining 15% are collected in the second month folowing sale, Bad debts are negligible and can be ignored. February sales totaled $350,000, and March sales totaled $380,000 Required: 1. Prepare a schedule of expected cash oollections from sales, by month and in total, for the second quarter Schedule of Expected Cash Collections Total April May June February sales March sales April sales May sales June sales Total cash collecsons 2. Assume that the company will prepare a budgeted balance sheet as of June 30. Compute the accounts receivable as of that date. May sales June sales Total accouets receivalie at June 30 From past experience, the company has learned that 20 % of a month's sales are collected in the month of sale, another 65 % are collected in the manth 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 $350,000, and March sales totaled $380,000. Required: 1. Prepare a schedule of expected cash collections from sales, by month and in total, for the second quarter Schedule of Expected Cash Collections April May June Total February sales March sales April sales May sales June sales Total cash collections 2. Assume that the company will prepare a budgeted balance sheet as of June 30. Compute the accounts receivable as of that date. May sales June sales Total aocounts receivable at June 30 Hints References eBook & Resources