Chadmark Corporation's budgeted monthly sales are $3,000. 40 percent of its customers pay in the same month and take the 2 percent discount. The remaining 60 percent pay in the month following the sale and don't receive a discount. Chadmark's total receipts for a typical month i.

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The amount of customers who pay in the same month and receive the discount is 40% of $3,000 which is $1,200. The amount of customers who pay in the month following the sale without discount is 60% of $3,000 which is $1,800.

Therefore, the total receipts for Chadmark Corporation in a typical month would be:

$1,200 + ($1,800 - ($1,800*0.02)) = $2,976

Chadmark Corporation's Budgeted Monthly Sales Are $3,000