What is the balance of receivables at the end of june

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Ellis Sports Shop projects the following sales: April $75,000 May $95,000 June $110,000 Ninety percent of Ellis' sales are on credit with 60 percent of receivables collected in the month after the sale and the rest of receivables collected in the second month after the sale. February sales were $60,000 and March sales were $70,000. In the past Ellis' bad debt percentage has been 0 and is expected to continue. a) Prepare a monthly schedule of cash receipts for April-June. b) What is the balance of Receivables at the end of June? February March April May June Sales Credit Sales Collections: Cash (10% of Sales) 60% first month after sale 40% second month after sale Total Receipts Receivables at the End of June 90% of June Sales 40% of May Credit Sales Total.

Reference no: EM13279376

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