Use the information below to answer the following question(s).

The following information pertains to Hepburn Company:

Month	Sales	Purchases
January	$60,000	$32,000
February	$80,000	$40,000
March	$100,000	$56,000

Cash is collected from customers in the following manner:

Month of sale 30%

Month following the sale 70%

40% of purchases are paid for in cash in the month of purchase, and the balance is paid the following month.

Labour costs are 20% of sales. Other operating costs are $30,000 per month (including $8,000 of depreciation). Both of these are paid in the month incurred. The cash balance on March 1 is$8,000. A minimum cash balance of $6,000 is required at the end of the month. Money can be borrowed in multiples of $1,000.

How much cash will be collected from customers in March?

A.

$66,000

B.

$92,000

C.

$86,000

D.

$90,000