question archive A company collects 25% of its sales during the month of sale, 65% one month after the sale, and 10% two months after the sale
A company collects 25% of its sales during the month of sale, 65% one month after the sale, and 10% two months after the sale
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A company collects 25% of its sales during the month of sale, 65% one month after the sale, and 10% two months after the sale. The company expects sales of $50,000 in August, $80,000 in September, $90,000 in October, and $60,000 in November. How much money is expected to be collected in October?
Select one:
a. $55,000
b. $90,000
c. $22,500
d. $79,500
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Answer:
Calculation of money expected to be collected in October:
25% of the October month's sale = 90000*25% =$ 22,500
65% of the September month's sale = 80000*65% =$ 52,000
10% of the August month's sale = 50000*10% =$ 5,000
Money expected to be collected in October =$ 79,500
