Use the following information to answer questions 1-3: January Cash Sales $40,000 Credit Sales $120,000 February March April $35,000 $110,000 $25,000 $90,000 $30,000 $100,000 20% of the credit sales are collected in the month of sale, 70% in the month after sale, and 10% in the second month after sale. What is the balance of accounts receivable on March 31? Multiple Choice $11,000 $12,000 $72,000 $83,000

Use the following information to answer questions 1-3: January Cash Sales $40,000 Credit Sales $120,000 February March April $35,000 $110,000 $25,000 $90,000 $30,000 $100,000 20% of the credit sales are collected in the month of sale, 70% in the month after sale, and 10% in the second month after sale. What is the balance of accounts receivable on March 31? Multiple Choice $11,000 $12,000 $72,000 $83,000

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter21: Supply Chains And Working Capital Management

Section: Chapter Questions

Problem 2P: Medwig Corporation has a DSO of 17 days. The company averages 3,500 in sales each day (all customers...

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