[Real Deal]

Ellis Sport Shop projects the following sales:



Ninety percent of Ellis' sales are on credit with 60 percent of receivables collected in the month after the sale and the rest of receivables collected in the second month after the sale. February sales were $60,000 and March sales were $70,000. In the past Ellis' bad debt percentage has been 0 and is expected to continue.
(a) Prepare a monthly schedule of cash receipts for April-June.
(b) What is the balance of Receivables at the end of June.


Feb Mar April May June
60,000 70,000 75,000 95,000 110,000
60% 42,000 45,000 57,000

40%2nd 24,000

I figure my cash receipts to be $27,000

[Real Deal]

Ellis Sport Shop projects the following sales:



Ninety percent of Ellis' sales are on credit with 60 percent of receivables collected in the month after the sale and the rest of receivables collected in the second month after the sale. February sales were $60,000 and March sales were $70,000. In the past Ellis' bad debt percentage has been 0 and is expected to continue.
(a) Prepare a monthly schedule of cash receipts for April-June.
(b) What is the balance of Receivables at the end of June.

I have been working on this question and I am still puzzled.
However this is were I am so far.
I think I should start with 90%-60%-30%=10%cash does that sound correct
Still not sure about what would be left for receivables

So it would look something like this


Feb Mar April May June
60,000 70,000 75,000 95,000 110,000


60% 42,000 45,000 57,500


30% 18,000 21,000

10% 7,000


So does this look right. But what do I end up with rec'ables? Is it 10% of June sales?