Carruthers Company expects the following total sales:

Month	Sales
March	$	32,000
April	$	22,000
May	$	16,000
June	$	27,000

The company expects 70% of its sales to be credit sales and 30% for cash. Credit sales are collected as follows: 25% in the month of sale, 71% in the month following the sale with the remainder being uncollectible and written off. The budgeted accounts receivable balance on May 31 is:

$22,170.

$7,000.

$12,000.

$8,400.