Schedule of Cash Collections of Accounts Receivable
Furry Friends Supplies Inc., a pet wholesale supplier, wasorganized on May 1. Projected sales for each of the first threemonths of operations are as follows:
| May | $310,000 |
| June | 340,000 |
| July | 510,000 |
All sales are on account. 50 percent of sales are expected to becollected in the month of the sale, 39% in the month following thesale, and the remainder in the second month following the sale.
Prepare a schedule indicating cash collections from sales forMay, June, and July.
| Furry Friends Supplies Inc. |
| Schedule of Collections fromSales |
| For the Three Months Ending May31 |
| May | June | July |
| May sales on account: | | | |
| Collected in May | | | |
| Collected in June | | | |
| Collected in July | | | |
| June sales on account: | | | |
| Collected in June | | | |
| Collected in July | | | |
| July sales on account: | | | |
| Collected in July | | | |
| Total cash collected | $ | $ | $ |
