Kelita Ltd projects sales for its first three months of operation as follows:

	October	November	December
	$	$	$
Credit sales	100,000	150,000	200,000
Cash sales	40,000	60,000	50,000
	$140,000	$210,000	$250,000

Inventory on 1 October is $40,000. Subsequent beginning inventories should be 40% of that month's cost of goods sold. Goods are priced at 140% of their cost. 50% of purchases are paid for in the month of purchase; the balance is paid in the following month. It is expected that 50% of credit sales will be collected in the month following sale, 30% in the second month following the sale, and the balance the third month. A 5% discount is given if payment is received in the month following sale.

What are the anticipated cash receipts for October?

Select one:

a. $-0-

b. $47,500

c. $66,500

d. none of these

e. $40,000