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Wright Corporation began its operations on Sept. 1 of the current year. Forecasted sales for the first three months of business are $240,000, $300,000, and $420,000 respectively for Sept, Oct, and Nov. The company expects to sell 20% of those sales for cash and 80% on account. Of the sales on account, 70% are expected to collected in the month of the sale, 25% in the month following the sale, and 5% in the next month.
In October the total cash collections are expected to be: 1. $300,0002. $276,0003. $216,0004. $168,0005. $ 60,000
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