Use the information below to answer the following questions.
Sales in December were $960,000. Projected sales for the first quarter of 2018 are: Sales are 20% cash and 80% on credit. Debtors pay in the month following the sale.
-Refer to the table above. Calculate the cash collected from accounts receivable in the month of February.
A) $1,080,000.
B) $1,200,000.
C) $960,000.
D) $864,000.
Correct Answer:
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