Roswell Company has budgeted sales revenue as follows for the next 4 months as follows:

Roswell Company has budgeted sales revenue as follows for the next 4 months as follows:

February     $150,000

March     $120,000

April             $105,000

May             $165,000

Past experience indicates that 80% of sales each month are on credit and that collection of credit sales occurs as follows: 60% in the month of sale, 35% in the month following the sale, and 3% in the second month following the sale. The other 2% is uncollectible.

Required:

Prepare a schedule which shows expected cash receipts from sales for the month of May.