A Company Has Expected Sales for January Through April of $9,800

question 95

Multiple Choice

A company has expected sales for January through April of $9,800, $9,500, $13,800, and $9,500, respectively.Assume each month has 30 days and the accounts receivable period is 38 days.How much does the company expect to collect in the month of May?

• A)$10,646.67
• B)$15,880.00
• C)$9,720.00
• D)$12,213.33
• E)$15,406.00

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Definitions:

New Corporation

A business entity that has recently been registered and commenced operations, typically characterized by its fresh market entry.

Property

Property is a legally recognized right to possess, use, and dispose of an item, land, or intellectual creation.

Involuntary Dissolution

The forced termination of a corporation or partnership by external action, often by government order.

Insolvent

The state of being unable to pay debts owed, with liabilities exceeding assets.