Sunshine Corporation has found that 60% of its sales in any given month are credit sales, while the remainder are cash sales. Of the credit sales, the company has experienced the following collection pattern:

25% received in the month of the sale

50% received in the month after the sale

15% received two months after the sale

10% of the credit sales are never received

November sales for last year were $85,000, while December sales were $110,000. Projected sales for the next three months are as follows:

January sales $ 145,000

February sales 115,000

March sales 175,000

Requirement

Prepare a cash collections budget for the first quarter, with a column for each month and for the quarter