Four of Wands, LLC generated $255,000 in sales during September 2021. Of this amount, 25% was for cash. The remaining 75% of sales were made on account. The October 2021 sales on account were $170,000, which accounted for 80% of the total sales during the month.

The company budgeted $350,000 in sales for November 2021 and expects sales in December 2021 to be 10% higher than Novembers sales. 20% of the total budgeted sales are for cash; the remaining budgeted sales are expected to be made on account. Sales on account carry credit terms of net 30.

Historically, 70% of sales on account are collected in the month following the month of sale. 25% of sales on account are collected in the second month following the month of sale. 4% of sales on account are collected in the third month following the month of sale. The remaining 1% is deemed uncollectible.

Given the above information, calculate the total expected cash receipts in December.

A.

$316,180

B.

$323,150

C.

$324,680

D.

$322,000

E.

$246,150