The Following Sales Budget Has Been Prepared Collections Are 50% in the Month of Sale, 40% in l

The following sales budget has been prepared: $$\begin{array} { l l l } \text { Month } & \text { Cash Sales } & \text { Credit Sales } \\\text { September } & \$ 167,000 & \$ 123,000 \\\text { October } & 225,000 & 180,000 \\\text { November } & 330,000 & 210,000 \\\text { December } & 135,000 & 190,000\end{array}$$ Collections are 50% in the month of sale, 40% in the month following the sale, and 10% two months following the sale. No uncollectible accounts are anticipated. is the estimated cash collection in December.

A) $197,000
B) $332,000
C) $325,000
D) $135,000

Correct Answer:

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