Answer:
Furry Friends Supplies Inc.
Cash collections Schedule
May June July
$ $ $
Collections for May sales 109,200 39,000 7,800
Collections for June sales 0 122,500 43,750
Collections for July sales <u> 0 0 126,000 </u>
Total collections for the month 109,200 161,500 177,550
Explanation:
The collections in May represent 70 % of sales for May of $ 156,000
The collections in June represent 25 % of sales of May ($ 156,000) and 70 % of sales of June ( $ 175,000)
The collections in July represent 5 % of sales of May ( $156,000) 25 % of sales for June ($ 175,000) and 70 % of sales of July ( $ 180,000)
