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A company's history indicates that 20% of its sales are for cash and the rest are on credit. Collections on credit sales are 20%
A company's history indicates that 20% of its sales are for cash and the rest are on credit. Collections on credit sales are 20% in the month of the sale, 50% In the month after the sale, 15% in the second month after the sale and 15% is uncollectible. Projected sales for December, January, and February are $69,000, $94,000 and $104,000, respectively. The February expected cash receipts from current and prior credit sales is:
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