Mann Company was organized on March 1 of the current year. Projected sales for each of the first three months of operations are as follows:

The company expects to sell 20% of its merchandise for cash. Of sales on account, 50% are expected to be collected in the month of the sale, 30% in the month following the sale, and the remainder in the following month.
Prepare a schedule indicating cash collections from sales for March, April, and May.

Transcribed Image Text:

March $640,000 April 720,000 May 900,000