Problem:
Sioux Company is estimating the following sales for the first six months of next year:
January $248,000
February $213,000
March $232,000
April $297,000
May $355,000
Sales at Sioux are normally collected as 55% in the month of sale, 41% in the month following the sale, and the remaining 4% being uncollectible. Based on this information, how much cash should Sioux expect to collect during the month of April?
- $300,470
- $258,470
- $284,470
- $223,470