Keyser Metal Fabricators collects 25% of sales in the month of sale, 65% in the month following the month of sale, and the 10% in the second month following the month of sale. In August, Keyser will
Collect _____ sales.

Question

Quizplus · Accepted Answer

In August, Keyser will collect 65% of sales from July because it is the month following the month of sale. The other options are not applicable because Keyser does not collect sales from the current month (option B and E) or from two months prior (option D). Option A is also not correct because Keyser does not collect 65% of sales from two months prior, only from the month following the month of sale.

Keyser Metal Fabricators Collects 25% of Sales in the Month