Answer:
Instructions are below.
Explanation:
Giving the following information:
Cash collections:
50% in the month of sale
47% in the month following sale
3% in the second month following sale
The following sales have been budgeted:
April $ 200,000
May $ 170,000
June $ 160,000
Cash collection for June:
From April= 200,000*0.03= 6,000
From May= 170,000*0.47= 79,900
From June= 160,000*0.5= 80,000
Total= $165,900
