Thornton, Inc. has budgeted sales for the months of September and October at $305,000 and $270,000, respectively. Monthly sales are 20% credit and 80% cash. Of the credit sales, 50% are collected in the month of sale, and 50% are collected in the following month. Calculate cash collections for the month of October

A.

$273,500

B.

$274,500

C.

$301,500

D.

$ 243,000