Managerial Accounting: E23-15 Environmental Landscaping Inc. is preparing its budget

Managerial Accounting
E23-15
Environmental Landscaping Inc. is preparing its budget for the first quarter of 2010. The next step in the budgeting process is to prepare a cash receipts schedule and a cash payments schedule. To that end the following information has been collected.
Clients usually pay 60% of their fee in the month that service is provided, 30% the month after, and 10% the second month after receiving service.
Actual service revenue for 2009 and expected service revenues for 2010 are: November 2009, $90,000; December 2009, $80,000; January 2010, $100,000; February 2010, $120,000; March 2010, $130,000.
Purchases on landscaping supplies (direct materials) are paid 40% in the month of purchase and 60% the following month.
Actual purchases for 2009 and expected purchases for 2010 are: December 2009, $14,000; January 2010, $12,000; February 2010, $15,000; March 2010, $18,000.

Required:
a. Prepare the following schedules for each month in the first quarter of 2010 and for the quarter in total: (If answer is zero, please enter 0. Do not leave any fields blank.)
(1) Expected collections from clients.
(2) Expected payments for landscaping supplies.
b. Determine the following balances at March 31, 2010:
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