Question

ABC Company has the following projected sales:

Month	Sales
June	$249
July	$8,220
August	$15,073
September	$36,368

25% of the sales are collected in the same month.
16% of the sales are collected after one month,
9% of the sales are collected after two months, and
the remainder are collected after three month.

What is the amount of the September collections?

Enter your answer rounded off to two decimal points. Do not enter $ or comma in the answer box. For example, if your answer is $12.345 then enter as 12.35 in the answer box.

Answer 1

	June	July	August	September
Sales	$             249	$          8,220	$      15,073	$       36,368
Collections:
From sales of the month [25%]	$    62.25	$ 2,055.00	$ 3,768.25	$    9,092.00
From sales one month earlier [16%]		$          39.84	$ 1,315.20	$    2,411.68
From sales two months earlier [9%]			$        22.41	$       739.80
From sales three months earlier [50%]				$       124.50
Total collection				$ 12,367.98
Answer: Collection for September =	$ 12,367.98