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The Task Company is beginning operations in May 2020. They have budgeted May sales of $34,000, June sales of $40,000, July sales of $42,000, and August sales of $38,000. 10% of each month's sales will represent cash sales; 75% of the balance will be collected in the month following the sale, 17% the second month, 6% the third month, and the balance is bad debts.
Question 1: What is the amount of cash to be collected in the month of August?
Select one:
Option a. $ 43,740
Option b. $ 39,746
Option c. $ 35,946
Option d. $ 40,106
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