The Wake-Up Coffee Company has projected the following quarterly sales amounts for the coming year: Accounts receivable at the beginning of the year are $200. Wake-Up has a 60-day collection period. What is the amount of the accounts receivable balance at the end of Quarter 3?

Question

The Wake-Up Coffee Company has projected the following quarterly sales amounts for the coming year:  Accounts receivable at the beginning of the year are $200. Wake-Up has a 60-day collection period. What is the amount of the accounts receivable balance at the end of Quarter 3?

Quizplus · Accepted Answer

A/R Q3 end = (60/90) F1F1F1S1F1F1F10 $750 = $500

The Wake-Up Coffee Company Has Projected the Following Quarterly Sales