Find cash collections in april are budgeted to be

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Pitkins, Company collects 20% of a month's sales in the month of sale, 70% in the month following sale, and 6% in the second month following sale. The remainder is uncollectible. Budgeted sales for the next four months are:

                                  January              February            March            April

Budgeted sales..... $200,000            $300,000            $350,000    $250,000

Problem 1: Cash collections in April are budgeted to be:

a. $321,000

b. $313,000

c. $320,000

d. $292,000

Reference no: EM132667597

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