Ewing Company is preparing a cash budget for September. The following information on accounts receivable...
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Ewing Company is preparing a cash budget for September. The following information on accounts receivable collections is available from past collection experience. Percent of current month's sales collected this month Percent of prior month's sales collected this month Percent of sales two months prior to current month collected this month Percent of sales three months prior to current month collected this month 25% 63 5 2 The remaining 5 percent is not collected and is written off as bad debts. Credit sales to date are as follows. September-estimated August July June $180,000 162,000 140,000 167,000 Required: What are the estimated cash receipts from accounts receivable collections in September? Estimated cash receipts
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