Question: Use the information below from a firm's sales for January-June to get a forecast for the collection forecast, including cash sales, for June.
|
Month
|
Sales
|
|
January
|
$220,000
|
|
February
|
140,000
|
|
March
|
150,000
|
|
April
|
140,000
|
|
May
|
170,000
|
|
June
|
150,000
|
Of the sales above, 30% are for cash & 70% are for credit. Of the credit sales, 55% are collected one month later, 30% are collected two months later, & 15% are collected three months later. Determine the collection forecast for June?