The sales for May, June, and July are $50,000, $80,000 and $120,000, respectively. For any particular month of sales, the following percentages are received over time in cash: 40% in cash from that same month of sales; 50% in cash from the previous month's sales; and, 10% in cash from the sales from two months ago. What amount of cash will be received during July?
A) $93,000
B) $97,500
C) $108,000
D) $120,000

Question

Quizplus · Accepted Answer

40% of July's sales ($120,000) = $48,00050% of June's sales ($80,000) = $40,00010% of May's sales ($50,000) = $5,000Total cash received in July = $48,000 + $40,000 + $5,000 = $93,000

The Sales for May, June, and July Are $50,000, $80,000