Richards Corporation has the following budgeted sales for the first half of next year:

	Cash Sales	Credit Sales
January	$70,000	$170,000
February	$75,000	$190,000
March	$50,000	$150,000
April	$55,000	$150,000
May	$65,000	$220,000
June	$100,000	$400,000

The company is in the process of preparing a cash budget and must determine the expected cash collections by month. To this end, the following information has been assembled:

Collections on credit sales:

45% in month of sales

40% in month of following sales

15.0% in second month following sales

The accounts receivable balance on January 1 is $64,000. Of this amount, $44,000 represents uncollected December sales and $20,000 represents uncollected November sales.

The total cash collected during January would be:

$80,000 $296,000 $198,500 $261,000