Answer:
Total cash collection March= $51,000
Explanation:
Giving the following information:
All sales are on account.
35% of the sales are collected in the month of sale, 45% in the following month, the remainder in the second following month.
Cash collection March:
Sales on account from March= (40,000*0.35)= 14,000
Sales on account from February= (60,000*0.45)= 27,000
Sales on account from January= (50,000*0.2)= 10,000
Total cash collection March= $51,000
