1) Markham Company has completed its sales budget for the first quarter of Year 2. Projected credit sales for the first four months of the year are shown below:

January	$	40,000
February	$	46,000
March	$	55,000
April	$	58,000

The company's past records show collection of credit sales as follows: 40% in the month of sale and the balance in the following month. The total cash collection from receivables in March is expected to be:

Group of answer choices

$49,600.

$55,000.

$42,400.

$51,400.

B) Compton Company expects the following total sales:

Month		Sales
March	$	27,000
April	$	17,000
May	$	27,000
June	$	22,000

The company expects 60% of its sales to be credit sales and 40% for cash. Credit sales are collected as follows: 30% in the month of sale, 70% in the month following the sale. The budgeted accounts receivable balance on May 31 is:

Group of answer choices

$12,775.

$11,340.

$19,740.

$20,250.