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Lopez Inc. found that about 35 percent of its sales during the month were for cash. Lopez has the following accounts receivable payment experience:Percent paid in the month of sale 25Percent paid in the month after the sale 68Percent paid in the second month after the sale 5
Lopez's anticipated sales for the next few months are as follows:April $200,000May 240,000June 230,000July 240,000August 250,000
Required:1. Calculate credit sales for May, June, July, and August.2. Prepare a schedule of cash receipts for July and August.
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