Maynard Company projects the following sales for the first three months of the year: $15,800in January; $13,800 in February;and $11,100in March. The company expects 60%of the sales to be cash and the remainder on account. Sales on account are collected 50% in the month of the sale and 50% in the following month. The Accounts Receivable account has a zero balance on January1. Round to the nearest dollar.
Requirement 1. Prepare a schedule of cash receipts for Maynard for January, February, and March. What is the balance in Accounts Receivable on March 31?
Requirement 2. Prepare a revised schedule of cash receipts if receipts from sales on account are 70% in the month of the sale, 20% in the month following the sale, and 10% in the second month following the sale. What is the balance in Accounts Receivable on March (Leave unused and zero balance account cells blank, do not enter "0".)