A company’s sales for the coming months are as follows:
April ....... $150,000
May ....... 155,000
June ....... 149,000
July ....... 156,000
August ....... 160,000
About 20 percent of sales are cash sales, and the remainder is credit sales. The company finds that typically 10 percent of a month’s credit sales are paid in the month of sale, 70 percent are paid the next month, and 15 percent are paid in the second month after sale. Expected cash receipts in July are budgeted at what amount?
a. $114,520
b. $143,150
c. $145,720
d. $156,000