Jim Debt was reviewing the total accounts receivable. This month he received $80,000 from credit customers. This represented 40% of all receivables due. The total amount of accounts receivable due is:
A)$200,000.
B)$320,000.
C)$500,000.
D)$230,000.
E)None of these.

Question

Quizplus · Accepted Answer

If $80,000 represents 40% of all receivables due, then the total amount of accounts receivable can be found by dividing $80,000 by 0.40, which equals $200,000.

Jim Debt Was Reviewing the Total Accounts Receivable