You are the marketing manager of Tizer Pharma Co. that began operations in Jan 2023. The business was a cash business (ie., did not accept credit) until May 2023, when they were able to build a credit approval process. Therefore, A/R balance as of May 1 2023 was $0. Actual revenues and collections are noted in the chart below. Expected sales revenues for the remaining six months of 2023 are as follows: $ thousands May (actuals) 600 June (actuals) 600 July (forecast) 700 Aug (forecast) 700 Sept (forecast) 750 Oct (forecast) 750 Nov (forecast) 800 Dec (forecast) 800 From July 1 onwards, you expect the collection pattern to be as follows: 20% of sales are cash sales and are received in the month of sale. 50% of sales are on one months credit and paid in the month following sale. 30% of sales are paid in the second month following sale. Required Prepare a schedule of cash received and A/R balance from sales for July to December of the year.

Cash Received May (act) Jun (act) Jul Aug Sep Oct Nov Dec Sales (as given) 600000 600000 Cash sales 110000 120000 1 month after sale 310000 300000 2 months after sale 180000 Total Cash Collected 110000 430000 A/R - beginning bal 0 490000 + Additions 600000 600000 - Collections -110000 -430000 A/R - ending bal 490000 660000