Harrington makes all sales on account, subject to the following collection pattern: 20% are collected in the month of sale; 70% are collected in the first month after sale; and 10% are collected in the second month after sale. If sales for June, July, and August were $60,000, $130,000, and $120,000, respectively, what were the firm's budgeted collections for August and the company's budgeted receivables balance on August 31?

August Collections August 31 Receivables Balance

A .$115,000 $135,000

B .$121,000 $109,000

C .$121,000 $101,000

D .$215,000 $109,000

E. None of these options is correct.

Multiple Choice

• Choice A
• Choice B
• Choice C
• Choice D
• Choice E