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Lowell Consulting, which sells on terms 2/10, n/30, had credit sales for March and April of $90,000 and $75,000, respectively. Analysis of Lowell's operations indicates

Lowell Consulting, which sells on terms 2/10, n/30, had credit sales for March and April of $90,000 and $75,000, respectively. Analysis of Lowell's operations indicates that the pattern of customers' payments on account is as follows (percentages are of total monthly credit sales):

Receiving Discount Beyond Discount Period Totals
In month of sale 40% 20% 60%
In month of following sale 15% 20% 35%
Uncollectible accounts, returns, and allowances 5%
100%

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