Freddie Reeds, a manufacturer of saxophone, oboe, and clarinet reeds, has projected sales to be $$906,000$ in October, $$956,000$ in November, $$1,030,000$ in December, and $$938,000$ in January. Freddie's sales are $25\%$ cash and $75\%$ credit. The company's collection history indicates that credit sales are collected as follows:

$30\%$ in the month of the sale

$60\%$ in the month after the sale

$8\%$ two months after the sale

$2\%$ are never collected

Requirements

Prepare a sales budget for all four months, showing the breakdown between cash and credit sales.

Prepare a cash collection budget for December and January. Round all answers up to the nearest dollar.

Requirement $1.$ Prepare a sales budget for all four months, showing the breakdown between cash and credit sales.

Freddie Reeds

Sales Budget

For the Four Months Ended January

$\backslash$table$[[,$October,November,December,January$],[$Cash sales$],[$Credit sales,,,,$],[$Total sales,,,,$]$