Office World Inc

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Office World Inc. has "cash and carry" customers and credit customers- Office World estimates that 25% of monthly sales are to cash customers, while the remaining sales are to credit customers. Of the credit customers, 25% pay their accounts in the month of sale, while the remaining 75% pay their accounts in the month following the month of sale. Projected sales for the next three months of 2016 are as follows: The Accounts Receivable balance on July 31, 2016, was $74,000. Prepare a schedule of cash collections from sales for August, September, and October. Round all calculations to the nearest whole dollar. Receipts from cash sale: Cash sales July sales on account: Collected in August August sales on account: Collected in August Collected in September September sales on account: Collected in September Collected in October October sales on account: Collected in October Total cash receipts