A city is preparing its cash forecast for the month of May. Using the following information, compute the estimated cash receipts from sales tax collections in May.
Sales tax rate 5%
Estimated retail sales in May......... $ 2,000,000
Actual retail sales in April ......... $ 1,500,000
Estimated percentage of May sales resulting in sales taxes remitted by merchants to city in May ................20%
Estimated percentage of April sales resulting in sales taxes remitted by merchants to city in May ...............70%