Use the tables for the question(s)below.
Pro Forma Income Statement for Ideko, 2013-2018
Pro Forma Assets & Liabilities for Ideko, 2013-2018

-With the proper changes it is believed that Ideko's credit policies will allow for an accounts receivable days of 60. The forecasted accounts receivable for Ideko in 2015 is closest to:
A)$16 970
B)$19 690
C)$14 525
D)$22 710

Question

Use the tables for the question(s)below.
Pro Forma Income Statement for Ideko, 2013-2018
  Pro Forma Assets & Liabilities for Ideko, 2013-2018
 
-With the proper changes it is believed that Ideko's credit policies will allow for an accounts receivable days of 60. The forecasted accounts receivable for Ideko in 2015 is closest to:
A)$16 970 
B)$19 690 
C)$14 525 
D)$22 710

Quizplus · Accepted Answer

The correct answer is A because the accounts receivable days is 60 and the forecasted sales for 2015 is $1,018,200. So, the forecasted accounts receivable for Ideko in 2015 is $1,018,200 * 60 / 365 = $16,970.

Use the Tables for the Question(s)below