During 20B, Its Second Year in Operation, Banner Company Delivered

question 58

Multiple Choice

During 20B, its second year in operation, Banner Company delivered goods to customers for which customers paid or promised to pay $5,850,000. The amount of cash collected from customers was $5,960,000. The amount of trade receivables at the beginning of 20B was $1,200,000.What is the amount of sales revenue that Banner should report on its statement of earnings for 20B?

• A) $5,850,000.
• B) $4,760,000.
• C) $4,650,000.
• D) $5,960,000.

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Definitions:

Sender's Message

The sender's message is the information or intention that the sender wants to communicate to the receiver, often formulated through language, body language, or other forms of communication.

Minimum Costs

The lowest possible expense incurred in the production of goods or services or in the achievement of a specific action or outcome.

Manager

A person who supports, activates, and is responsible for the work of others.

Immediate Environment

refers to the external factors directly influencing a company's operations and performance, including suppliers, customers, and competition.