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Use the Following Information for the Next 7 Questions

question 32

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Use the following information for the next 7 questions. Use the following information for the next 7 questions.   Sales are 30% cash and 70% on account, and 60% of credit sales are collected in the month of the sale. In the month after the sale, 30% of credit sales are collected. The remainder is collected two months after the sale. It takes 4 pounds of direct material to produce a finished unit, and direct materials cost $5 per pound. All direct materials purchases are on account, and are paid as follows: 40% in the month of the purchase, 50% the following month, and 10% in the second month following the purchase. Ending direct materials inventory for each month is 40% of the next month's production needs. January's beginning materials inventory is 1,080 pounds. Suppose that both accounts receivable and accounts payable are zero at the beginning of January. -Total cash sales for the January - March quarter are A)  $69,135 B)  $62,700 C)  $24,750 D)  $49,500 Sales are 30% cash and 70% on account, and 60% of credit sales are collected in the month of the sale. In the month after the sale, 30% of credit sales are collected. The remainder is collected two months after the sale. It takes 4 pounds of direct material to produce a finished unit, and direct materials cost $5 per pound. All direct materials purchases are on account, and are paid as follows: 40% in the month of the purchase, 50% the following month, and 10% in the second month following the purchase. Ending direct materials inventory for each month is 40% of the next month's production needs. January's beginning materials inventory is 1,080 pounds. Suppose that both accounts receivable and accounts payable are zero at the beginning of January.
-Total cash sales for the January - March quarter are


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