Craig has projected sales to be $90,400 in April; $96,400 in May; $104,500 in June and $93,600 in July. The history of Craigs sales indicates 20% cash and the remaining 80% on credit.

The companys collection history indicates that credit sales are collected as follows:

30% collected in the month of the sale60% collected in the month after the sale8% collected two months after the sale2% of credit sales are never collected