Assume a company is preparing a budget for its first two months of operations. During the first and second months it expects cash sales of $39,500 and $43,500, respectively. It also expects credit sales of $59,500 and $69,500, respectively. The company expects to collect 45% of its credit sales in the month of the sale, 50% in the following month, and 5% is deemed uncollectible. What amount of cash collections would appear in the companys cash budget for the second month? Garrison 17e Rechecks 2020-07-14 Multiple Choice $104,250 $104,525 $31,275 $101,550

pt 2

Assume a company is preparing a budget for its first two months of operations. During the first and second months it expects credit sales of $45,000 and $65,000, respectively. The company expects to collect 30% of its credit sales in the month of the sale and the remaining 70% in the following month. What is the expected cash collections from credit sales during the first month?

Multiple Choice

• $25,500

• $49,000

• $31,500

• $13,500