Vern's makes all sales on account, and has the following collection pattern: 20% are collected in the month of sale; 70% are collected in the first month after sale; and 10% are collected in the second month after sale. Sales for the last quarter of the year are budgeted as follows:
October $70,000
November $60,000
December $50,000
What should be the budgeted receivables balance on December 31?
a) $40,000
b) $46,000
c) $51,000
d) $59,000