A firm has forecasted sales of $4,500 in April, $3,000 in May, and $5,000 in June. All sales are on credit. 30% is collected in the month of the sale, and the remainder in the following month. What will be the balance in accounts receivable at the end of June?
A) $1,950
B) $6,500
C) $4,550
D) $3,500
D) $3,500
You might also like to view...
Change in an accounting principle is accounted for
A) prospectively. B) by a prior period adjustment. C) by a retrospective application of a new accounting principle. D) by constructive application of a new accounting principle.
The legal environment of business is established and modified according to ethical norms
Indicate whether the statement is true or false
Only shareholders can call special meetings of the board
Indicate whether the statement is true or false
Riverboat Adventures pays $310,000 plus $15,000 in closing costs to buy out a competitor. The real estate consists of land appraised at $35,000, a building appraised at $105,000, and paddleboats appraised at $210,000. Compute the cost that should be allocated to the land.
A. $93,000. B. $97,500. C. $31,000. D. $32,500. E. $140,000.