Answer:
The correct answer for August is $162,500, for September is $217,500 and for October is $248,750.
Step-by-step explanation:
According to the scenario, the computation of the given data are as follows:
August September October
Sales Amount $250,000 $200,000 $275,000
Sales on Credit $125,000 $100,000 $137,500
Sales on Cash $125,000 $100,000 $137,500
So collection of cash are as follows:
Aug.credit sales $37,500 $87,500
Sep. credit sales $30,000 $70,000
Oct. credit sales $41,250
Total cash $162,500 $217,500 $248,750