A corporation anticipates the following sales during the last 6 months of the year:

July $460,000

August $500,000

September $525,000

October $500,000

November $480,000

December $450,000

20% of the corporations sales are for cash. The balance is subject to the collection pattern below:

40% is collected in the same month as the sale

30% is collected in the first month following the sale

25% is collected in the second month following the sale

5% is expected to be uncollected and is written off at the end of the second month following the sale

4. How much cash is expected to be collected in December? a. $431,240 b. $426,700 c. $359,200 d. $449,200 5. What is the planned gross accounts receivable as of December 31? a. $331,200 b. $294,000 c. $336,200 d. $480,800