Moorcroft Company's budgeted sales and direct materials purchases are as follows: Moorcroft's sales are 40% cash and 60% credit. Credit sales are collected 20% in the month of sale, 50% in the month following sale. and 26% in the second month following sale: 4% arlu uncollectible. Moorcroft's purchases are 50% cash and 50% on account Purchases on account are paid 40% in the month following the purchase and 60% in the second month following the purchase. Moorcroft Company Schedule of Expected Collections from Customers