The Thomas Company makes all its sales on credit. It expects to collect cash from receivables according to the following schedule:
• 60% collected in the month of sale.
• 20% in the month after sale.
• 13% in the second month after sale.
• 4% in the third month after sale
Budgeted sales are as follows:
• January $170,000
• February $190,000
• March $200,000
• April $210,000
• May $200,000
• June $190,000
.
What are the budgeted cash collections for May?