2: The LaGrange Corporation had the following budgeted sales for the first half of the current year: January February March April May June Page 2 of 3 ACC 222-Managerial Accounting Assignment 3 Cash Sales Credit Sales $50,000 $150,000 $55,000 $170,000 $43,000 $130,000 $38,000 $123,000 $48,000 $200,000 $80,000 $170,000 The company is in the process of preparing a cash budget and must determine the expected cash collections by month. To this end, the following information has been assembled: Collections on sales: 50% in month of sale 40% in month following sale 10% in second month following sale The accounts receivable balance on January 1 of the current year was $65,000. Required: Prepare expected cash collections budget for January, February, March, April and May