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Question - Bounce Athletics Ltd, which develops and runs athletics training programs for primary schools, has budgeted revenue for the first 6 months of 2020 as follows:
Month Budgeted revenue
January $9,000
February 43,000
March 69,000
April 22,000
May 69,000
June 52,000
All revenues are provided on account and Bounce Athletics Ltd posts out the account statements on the last day of each month for that month's services. Schools are given 14 days to pay and 70% of schools pay within the month after the invoices are posted. The other 30% usually pay the following month. In December 2019 Bounce Athletics Ltd provided no training programs as the schools were preparing for the end-of-year break. The company also made sure that all outstanding balances owed by schools from November were paid before the end of December 2019.
Required - Make a schedule of estimated cash collections from revenue for the first 6 months of 2020 for Bounce Athletics Ltd.
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