Miller Corporation Has the Following Sales Budget for the First

Miller Corporation has the following sales budget for the first four months of the current year:
Historically,the following trend has been established regarding cash collection of sales:
65% in month of sale
25% in month following sale
8% in second month following sale
2% uncollectible
The company allows a 2% cash discount for payments made by customers during the month of the sale.November and December sales were $400,000 and $240,000,respectively.
Required: Prepare a schedule of budgeted cash collections from sales for January,February,and March.
$$\begin{array} { l r } \text { Month } & \text { Sales } \\\text { January } & \$ 400,000 \\\text { February } & 320,000 \\\text { March } & 440,000 \\\text { April } & 360,000\end{array}$$