Jasper Company has $65\%$ of its sales on credit and $35\%$ for cash. All credit sales are collected in full in the first month following the sale. The company budgets sales of $$530,000$ for April, $$540,000$ for May, and $$565,000$ for June. Total sales for March are $$303,000.$A growing chain is trying to decide which store location to open. The first location $($A$)$ requires a $$500,000$ investment in average

assets and is expected to yield annual income of $$75,000.$ The second location $($B$)$ requires a $$200,000$ investment in average assets

and is expected to yield annual income of $$38,000.$

$(1)$ Compute the expected return on investment for each location.

$(2)$ Using return on investment, which location $($A or B$)$ should the company open?

Complete this question by entering your answers in the tabs below.

Compute the expected return on investment for each location.

Prepare a schedule of cash receipts from sales for April, May, and June.

$\backslash$table$[[$JASPER COMPANY$],[$Schedule of Cash Receipts from Sales$],[,$April,May,June$],[$Sales$,530,000,540,000,565,000],[$Cash receipts from:,,,$],[,,,],[,,,],[$Total cash receipts,,,$]]$