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The LaGrange Corporation had the following budgeted sales for the first half of the current year: The company is in the process of preparing a cash budget and must determine the expected cash collections by month. To this end, the following information has been assembled: Collections on sales: 60%inmonthofsale30%inmonthfollowingsale10%insecondmonthfollowingsale The accounts receivable balance on January 1 of the current year was $70,000, of which $50,000 represents uncollected December sales and $20,000 represents uncollected November sales. 2. The total cash collected during January by LaGrange Corporation would be: a. $410,000 b. $254,000 c. $344,000 d. $331,500 4 3. What is the budgeted accounts receivable balance on May 31? a. $56,000 b. $64,000 c. $76,000 d. $132,000