Hannah’s Handbags Pty Ltd is preparing a budget for the quarter ended 30 June 2019. Hannah estimates that approximately 70% of the handbag sales will be for cash and the rest will be on credit. Of the credit sales, 20% of the money will be received in the month of sale, 40% will be received the following month and 38% will be received 2 months after sale. Approximately 2% of credit sales are never collected and are written off.

The actual sales for the previous quarter ended 31 March 2019 were as follows.

Required

Calculate budgeted cash receipts for the quarter ended 30 June 2019.

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January February March $33 620 34 770 40 180 The budgeted sales for the June quarter are as follows. April May June $42 640 43 950 45 920