Home Corporation will open a new store on January 1. Based on experience from its other retail outlets, Home Corporation is making the following sales projections:

Home Corporation estimates that 70% of the credit sales will be collected in the month following the month of sale, with the balance collected in the second month following the month of sale.
-The March 31 balance in accounts receivable will be:
A)$100,000
B)$60,000
C)$95,000
D)$75,000

Question

Home Corporation will open a new store on January 1. Based on experience from its other retail outlets, Home Corporation is making the following sales projections:

Home Corporation estimates that 70% of the credit sales will be collected in the month following the month of sale, with the balance collected in the second month following the month of sale.
-The March 31 balance in accounts receivable will be:
A)$100,000 
B)$60,000 
C)$95,000 
D)$75,000

Quizplus · Accepted Answer

The Answer of Home Corporation will open a new store on January 1. Based on experience from its other retail outlets, Home Corporation is making the following sales projections:

Home Corporation estimates that 70% of the credit sales will be collected in the month following the month of sale, with the balance collected in the second month following the month of sale.
-The March 31 balance in accounts receivable will be:
A)$100,000 
B)$60,000 
C)$95,000 
D)$75,000

Home Corporation Will Open a New Store on January 1