Crocetti Corporation makes one product and has provided the following information to help prepare the master budget for the next four months of operations: Credit sales are collected:40% in the month of the sale60% in the following monthThe budgeted accounts receivable balance at the end of February is closest to:
A) $544,500
B) $907,500
C) $605,000
D) $363,000

Question

Crocetti Corporation makes one product and has provided the following information to help prepare the master budget for the next four months of operations:  Credit sales are collected:40% in the month of the sale60% in the following monthThe budgeted accounts receivable balance at the end of February is closest to:
A) $544,500 
B) $907,500 
C) $605,000 
D) $363,000

Quizplus · Accepted Answer

The Answer of Crocetti Corporation makes one product and has provided the following information to help prepare the master budget for the next four months of operations:  Credit sales are collected:40% in the month of the sale60% in the following monthThe budgeted accounts receivable balance at the end of February is closest to:
A) $544,500 
B) $907,500 
C) $605,000 
D) $363,000

Crocetti Corporation Makes One Product and Has Provided the Following