A firm has actual sales of $50,000 in January and $70,000 in February. It expects sales of

Question:

A firm has actual sales of $50,000 in January and $70,000 in February. It expects sales of $90,000 in March and $110,000 in both April and May. Assuming that sales are the only source of cash inflow, and that 60 % of these are for cash and the rest are collected evenly over the following two months, what are the firm’s expected cash receipts for March, April, and May?