The following trial balance was drawn from the records of Havel Company as of October 1, 2018: Cash

The following trial balance was drawn from the records of Havel Company as of October 1, 2018: Cash $16,000 Accounts Receivable 60,000 Inventory 40,000 Store Equipment 200,000 Accumulated Depreciation $76,800 Accounts Payable 72,000 Line of Credit Loan 100,000 Common Stock 50,000 Retained Earnings 17,200 Totals 316,000 316,000

1) Based on the following information, prepare a sales budget and a schedule of cash receipts for October, November, and December. Sales for October are expected to be $180,000, consisting of $40,000 in cash and $140,000 on credit. The company expects sales to increase at the rate of 10 percent per month. All accounts receivable are collected in the month following the sale.