3 Holiday Corporation has found that 60% of its sales in any given month are credit sales, while the remainder (40%) are cash sales. 4 Of the credit sales, Holiday Corporation has experienced the followingc collection pattern: 5 6 25% received in the month of the sale 7 50% received in the month after the sale 8 16% received two months after the sale 9 9% of the credit sales are never received 10 1 12 November sales for last year were 13 December sales for last year were 14 $90,000 $115,000 15 Projected sales for the next three months are as follows: 16 7 January Sales $145,000 18 February Sales $125,000 19 March Sales $180,000 20 21 Holiday Corporation Cash Collections Budget For the Months of January through March January Cash Sales 40% Collections of Credit Sales 60% Percentage of credit sales made in the current month Percentage of credit sales made one month ago Percentage of credit sales made two months ago 25% 50% 16% 22 Requirement: Prepare the cash collections budget provided. 23 Be sure to use cell references/formulas. 24 The percentages are included separate cells for ease of cell references. 25 Hint: Percentage of Credit Sales made one month ago for the quarter should be $115,500. 26 The Total Cash Collection for February should be $123,290. 27 Total Cash Collections February March Quarter