Final answer:
The correct answer is option a. $363,600 and $513,920.
Step-by-step explanation:
To compute the cash collections of credit sales (accounts receivable) in each of the months of June and July, we need to consider the credit sales and the expected collection percentage. Let's assume the expected collection percentage for June is 60%, and for July is 80%. The computation would be as follows:
June: Credit Sales x Expected Collection Percentage = $606,000 x 60% = $363,600
July: Credit Sales x Expected Collection Percentage = $642,400 x 80% = $513,920
Therefore, the correct answer is option a. $363,600 and $513,920.