Question - Dominic's, Inc. had actual sales for January and February and forecasted sales for March, April, May and June as follows:
Actual:
January $178,000
February $206,000
Forecast:
March $214,000
April $193,900
May $188,000
June $203,000
Based on company experience, it is estimated that 22 percent of a month's sales are collected in the month of sale, 49 percent of the prior month's sales, and 28 percent of the second prior month's sales. Calculate the estimated cash collections for March, April, and May.