1)Avril Company makes collections on sales according to the following schedule:

30% in the month of sale

65% in the month following sale

5% in the second month following sale

The following sales are expected:

	Expected Sales
January	$190,000
February	$120,000
March	$110,000

Cash collections in March should be budgeted to be:

A)$110,000

B)$110,950

C)$111,000

D)$120,500

2)

Roye Kennel uses tenant-days as its measure of activity; an animal housed in the kennel for one day is counted as one tenant-day. During September, Kennel budgeted for 4,500 tenant-days, but its actual level of activity was 4,560 tenant-days. Kennel has provided the following data concerning the formulas used in its budgeting and its actual results for September:

Data used in budgeting:

	Fixed element per month	Variable element per tenant-day
Revenue