40. (8 points) Retail Company has the following monthly total Sales budget: July August September $ 70,000 80,000 90,000 October November December $110,000 110,000 120,000 Each month Cash sales account for 45% of total sales and Credit sales account for 55% of total monthly sales. Collection of credit sales occur as follows: 0% of credit sales collected in the month of sale 85% of credit sales collected in the first month following the sale 10% of credit sales collected in the second month following the sale 5% of credit sales are uncollectible. a. Calculate the amount of cash collected in October. b. How are Cash Budgets useful to management?