Question - The following credit sales are budgeted by Milford Company:
May $136,000
June 200,000
July 280,000
August 240,000
The company's past experience indicates that 70% of the accounts receivable are collected in the month of sale, 20% in the month following the sale, and 8% in the second month following the sale. The anticipated cash inflow for the month of August is
$240,000.
$246,880.
$235,200.
$224,000.