Question
Bonita, Inc. reports all its sales on credit, and pays operating costs in the month incurred. Amounts for 2020 are: MarchAprilMayJuneJuly Budgeted sales$300100$290800$319200$280500$210600Budgeted purchases $144500$120800$128000$132000$89800
Bonita, Inc. reports all its sales on credit, and pays operating costs in the month incurred. Amounts for 2020 are:
MarchAprilMayJuneJulyBudgeted sales$300100$290800$319200$280500$210600Budgeted purchases
$144500$120800$128000$132000$89800
Customer amounts on account are collected 65% in the month of sale and 35% in the following month.Cost of goods sold is 70% of sales.Bonita purchases and pays for merchandise 30% in the month of acquisition and 70% in the following month.Operating expenses are: Salaries, $49200; Depreciation, $12000; Rent, $15700; and Utilities, $14800.Accounts payable is used only for inventory acquisitions.
How much cash will Bonita receive during May from customers?
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