Davis Company Has Forecast Its Sales as Follows Davis Has Experienced Collections of 40% During the Month of August

Davis Company has forecast its sales as follows:
$\begin{array}{ll}\text { August } & \$ 180,00 \text { (actual) } \\\text { September } & \$ 280,000 \text { (actual) } \\\text { October } & \$ 360,000 \\\text { November } & \$ 400,000 \\\text { December } & \$ 450,000\end{array}$
Davis has experienced collections of 40% during the month of sale, 50% the month after the sale, and 10% the second month after the sale.
Required:
a. Prepare a schedule of cash receipts for the 3-month period October - December.
b. What will the Accounts Receivable balance be on December 31?