Wobilt's Department Store had sales to customers during 1979 as follows: cash sales, \(\$ 1,500,000\); sales on account, \(\$ 1,200,000\). Past experience indicates that 1 percent of goods will be returned because of defects. Customers are given full credit for returned merchandise, and the defective merchandise is scrapped. Wobilt's Department Store also estimates that 3 percent of sales on account will be uncollectible. Of the merchandise purchased on account and subsequently paid for, 40 percent is paid in time to obtain a 2

-percent cash discount for prompt payment. Under the accrual basis of accounting, how much revenue should Wobilt's Department Store report for sales during 1979? Assume that merchandise purchased for cash is just as likely to be returned as merchandise purchased on account.