Whitney’s, Inc., sells on terms of 5% discount for “cash and carry” or 2/10, n/30 and estimates its total sales for the second calendar quarter of next year as follows: April, \($300,000\);

May,\($240,000;\) and June, \($360,000.\) An analysis of operations indicates the following customer collection patterns:

Prepare an estimate of the cash to be collected from customers during June.

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Portions of Total Sales In month of sale: Cash at time of sale On account, during discount period... On account, after discount period. In month following sale: On account, during discount period... On account, after discount period.. In second month following sale: On account, after discount period Average portion uncollectible... 25% 15% 10% 20% 10% 15% 5% 100%