The following is the sales budget for Tesoro Azul, Inc., for the first quarter of 2016:
January February March
Sales budget $142,000 $159,000 $174,000
Credit sales are collected as follows:
70 percent in the month of the sale
25 percent in the month after the sale
5 percent in the second month after the sale
The accounts receivable balance at the end of the previous quarter was $70,150 ($61,200 of which was uncollected December sales).
a. Compute the sales for November. (Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.)
Sales $
b. Compute the sales for December. (Do not round intermediate calculations and round your answer to the nearest whole number, e.g., 32.)
Sales $
c. Compute the cash collections from sales for each month from January through March. (Do not round intermediate calculations and round your answers to the nearest whole number, e.g., 32.)
Cash Collection
January $
February $
March $