Fehler Incorporated is forecasting their cash collections from customers for the months of January to March. Use the following details to project the timing of cash inflows from sales:

Projected # of Units Sold:

January 225

February 275

March 175

Sales $ per Unit $125

$ of Credit Sales from December to be collected in January $4,000

Historical Sales Trend:

30% of Monthly Sales are Cash

70% of Monthly Sales are on Credit

70% of Credit Sales are Collected in the Month of the Sale

20% of Credit Sales are Collected in the Month after the Sale

10% of Credit Sales are Never Collected (Bad Debts)