Freightcan Holders Has Provided the Following Extracts from Their Budget

question 7

Multiple Choice

Freightcan Holders has provided the following extracts from their budget for the first quarter of the forthcoming year: $$\begin{array} { | l | c | c | c | } \hline & \text { Jan } & \text { Feb } & \text { March } \\\hline \text { Sales } ( 30 \% \text { cash } ) & \$ 500,000 & \$ 750,000 & \$ 1,000,000 \\\hline\end{array}$$ The company collects 60% of credit sales in the same month and the balance in the next month. Calculate the collections from the customers for the month of February.

• A) $ 580,000
• B) $720,000
• C) $680,000
• D) $490,000