Answer:
Total= $926,400
Explanation:
Giving the following information:
Sale:
April= 840,000
May= 940,000
June= 990,000
Cash sales are normally 20% of total sales.
Of the credit sales, 35% are collected in the same month as the sale, 60% are collected during the first month after the sale, and the remaining 5% are not collected.
Cash collection for June:
From June in cash= (990,000*0.2)= 198,000
From June in credit= (990,000*0.8)*0.35= 277,200
From May in credit= (940,000*0.8)*60= 451,200
Total= $926,400
