31) All of Gaylord Corporation's sales are on account. Thirty-five percent of the sales on account are collected in the month of sale, 45% in the month following sale, and the remainder are collected in the second month following sale. The following are budgeted sales data for the company: Total sales January $50,000 February $60,000 March $40,000 April $30,000 What is the amount of cash that should be collected in March? A) $24,000 B) $37,000 C) $41,000 D) $51,000 Answer: D Explanation: March sales collected in March ($40,000 x 35%) February sales collected in March ($60,000 45%) January sales collected in March ($50,000 * 20%) Total cash collections in March Difficulty: 1 Easy Topic: The Sales Budget $ 14,000 $ 27,000 $ 10,000 $ 51,000