The LaGrange Corporation Had the Following Budgeted Sales for the First

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% in month of sale
30% in month following sale
10% in second month following sale
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.
What is the budgeted accounts receivable balance on May 31?

A) $56,000
B) $64,000
C) $76,000
D) $132,000