A companys 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 next month, 25% the following month, and 5% is uncollectible. Projected sales for December, January, and February are $60,000, $85,000, and $95,000, respectively. The February expected cash receipts from all current and prior credit sales are

Question 1 options:

	$61,200
	$57,000
	$66,400
	$90,250

Question 3 (5 points)

Adelphi Company has budgeted activity for March to reflect net income $170,000. All sales are credit sales. Receivables are planned to increase (decrease -) by $39,000 payables to increase (decrease -) by $-11,000 and Depreciation Expense is $56,000. Use this information to determine how much cash will increase (decrease) during the month of March. (Decreases in accounts receivable or accounts payable will have a negative sign in front of number. Round to nearest whole number (no cents).

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