RECOMMENDED!!RHM 575-The cash sales and credit sales projected

  

The cash sales and credit sales projected for Sarah’s Kitchen are as follows:Jan Feb March April MayCash 17,000 19,640 16,200 15,380 17,390Credit 40,000 42,000 48,000 50,000 49,500If Collections of credit sales are 70% for the first month and 30% for the second month, what would be the cash receipts for March, April and May?Using this same data, if Sarah’s kitchen has a 1% bad debt allowance and can collect only 29% of accounts receivable the second month, what would be the cash receipts for March, April and May?

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