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Question - DynaCare Products' sales are all on account. History indicates that sales will be collected as follows:
Month of sale 25%
Month following the sale 65%
Second month following the sale 8%
Never collected 2%
Budgeted sales data follows:
March $300,000
April $250,000
May $260,000
June $230,000
July $200,000
Required - How much are total budgeted cash collections during May?
a. $65,000
b. $258,300
c. $230,500
d. $251,500
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