sheet of paper.

The sales manager will not have projections of $2024$ sales ready until the last minute, but

we always expect sales to follow this pattern:

April sales

May sales

June sales

July sales

August sales

$40\%$ of first quarter $2024$ sales

$35\%$ of first quarter $2024$ sales

$25\%$ of first quarter $2024$ sales

$110\%$ of June $2024$ sales

$130\%$ of July $2024$ sales

In addition, it is safe to estimate first quarter $2024$ sales at $120\%$ of fourth quarter $2023$

sales.

Last year, a case of CDs $(10CDs$ sold for $$35.$ However, because of the ever$-$increasing

productivity and competition in this market, it is expected that we will have to reduce our

selling price. This change in price will not be known until April $1^{st}.$

All sales are on account. Typically, $60\%$ of our customers pay their bills during the same

month that they buy the CDs$,25\%$ do not pay until the month after the purchase, and

$12\%$ pay two months after the purchase. The remaining $3\%$ are uncollectible. The

Accounts Receivable balance, net of uncollectible accounts, is expected to be $$80,000$ on

April $1{?}^{st}.($Assume that $62\mathrm{.}5\%$ of this balance will be collected in April with the

remainder to be collected in May.$)$

Because our sales projections are not always perfect and production lead time, we want to

maintain an ending inventory of CDs equal to $15\%$ of the following month's sales. You

can assume that we will have sufficient CDs on hand on March $31$st to meet this

Because our sales projections are not always perfect and production lead time, we want to

maintain an ending inventory of CDs equal to $15\%$ of the following month's sales. You

can assume that we will have sutticient IDs on hand on March $3$ st to meet this