Martinque and Son Has a 60 Day Collection Period

Martinque and Son has a 60 day collection period. Sales for the next calendar year are estimated at $1,200, $1,100, $2,300 and $1,800, respectively, by quarter starting with the first quarter of the year. Given this information, which one of the following statements is correct? Assume that a year has 360 days.

A) The firm will collect $1,133 in Quarter 2.
B) The accounts receivable balance at the beginning of Quarter 4 will be $767.
C) The firm will collect $367 from Quarter 2 sales in Quarter 3.
D) The firm will have an accounts receivable balance of $1,200 at the end of the year.
E) The firm will collect a total of $1,967 in Quarter 4.