Answer:
Budgeted cash collection in June=$110,300
Explanation:
Budgeted cash collection in June will be determined as follows:
<em>Month of sale collection</em>
= 25%×June sales = 25%× 100,000= 25,000
<em>Month following sales collection</em>
71%× May sales= 71% × 110,000 = 78,100
<em>Second month following sales collection</em>
4%× April Sales = 4%× 180,000= 7200
Budgeted cash collection in June= 25,000 + 78,100 + 7200
=110,300
Budgeted cash collection in June=$110,300
