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Schedule of Cash Receipts

Rosita Flores owns Rosita's Mexican Restaurant in Tempe, Arizona. Rosita's is an affordable restaurant near campus and several hotels. Rosita accepts cash and checks. Checks are deposited immediately. The bank charges $0.50 per check; the amount per check averages $75. "Bad" checks that Rosita cannot collect make up 3 percent of check revenue.

During a typical month, Rosita's has sales of $45,000. About 80 percent are cash sales. Estimated sales for the next three months are as follows:

April	$32,000
May	45,000
June	56,000

Rosita thinks that it may be time to refuse to accept checks and to start accepting credit cards. She is negotiating with VISA/MasterCard and American Express, and she would start the new policy on April 1. Rosita estimates that with the drop in sales from the "no checks" policy and the increase in sales from the acceptance of credit cards, the net increase in sales will be 30 percent. The credit cards do involve added costs as follows:

VISA/MasterCard: Rosita will accumulate these credit card receipts throughout the month and submit them in one bundle for payment on the last day of the month. The money will be credited to her account by the fifth day of the following month. A fee of 3.5 percent is charged by the credit card company.

American Express: Rosita will accumulate these receipts throughout the month and send them to American Express for payment on the last day of the month. American Express will credit her account by the sixth day of the following month. A fee of 5.5 percent is charged by American Express.

Rosita estimates the following breakdown of revenues among the various payment methods.

Cash	10%
VISA/Mastercard	75
American Express	15

Required:

Prepare a schedule of cash receipts for May and June that incorporates the changes in policy. Round your intermediate computations and final answers to the nearest dollar.

Rosita's Mexican Restaurant Schedule of Cash Receipts For the Months of May and June

	May	June
Cash sales:	$fill in the blank 1	$fill in the blank 2
VISA/MasterCard:	fill in the blank 3	fill in the blank 4
American Express:	fill in the blank 5	fill in the blank 6
Total	$fill in the blank 7	$fill in the blank 8

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