Fonsey corporation, a merchandising company.....

Purchases Sales Month $39, 500 $69,000 January 47,200 65,900 February 37, 500 61,200 March 55, 000 79, 850 April 59, 500 66,100 May Collections from customers are normally 65% in the month of sale, 22% in the month following the sale, and 11% in the second month following the sale. It is expected that the Cash disbursements for expenses other than merchandise purchases are expected to be $13,300 for May. qn_s_ey_' cash balance on May 1 was $21,500. Required: 1. Compute the expected cash collections during May. 2. Compute the expected cash balance on May 31