Center Company makes collections on sales according to the following schedule: 30% in the month of sale 60% in the month following sale 8% in the second month following sale The following sales are expected: Expected Sales January $117,000 February $152,000 March $132,000 Cash collections in March should be budgeted to be:

Cornerstones of Cost Management (Cornerstones Series)
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Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter8: Budgeting For Planning And Control
Section: Chapter Questions
Problem 34E: A companys sales for the coming months are as follows: About 20 percent of sales are cash sales, and...
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Center Company makes collections on sales according to the following schedule:
30% in the month of sale
60% in the month following sale
8% in the second month following sale
The following sales are expected:
Expected
Sales
January
$117,000
February
$152,000
March
$132,000
Cash collections in March should be budgeted to be:
Multiple Choice
$130,800.
$133.200.
$140.160.
$132,000.
Transcribed Image Text:Center Company makes collections on sales according to the following schedule: 30% in the month of sale 60% in the month following sale 8% in the second month following sale The following sales are expected: Expected Sales January $117,000 February $152,000 March $132,000 Cash collections in March should be budgeted to be: Multiple Choice $130,800. $133.200. $140.160. $132,000.
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