The Records of Morgantown, Inc Collection Pattern:
60 Percent in Month of Sale
40 Percent

question 138

Multiple Choice

The records of Morgantown, Inc.show the following forecasted sales: $\begin{array} { l r } \text { Month } & \text { Sales } \\ \text { September } & \$ 400,000 \\ \text { October } & 500,000 \\ \text { November } & 300,000 \\ \text { December } & 200,000 \end{array}$
Collection pattern:
60 percent in month of sale
40 percent in month following the sale
$\begin{array}{lr}\text { Accounts receivable as of August } 31 & \$ 70,000 \\\text { Finished goods inventory as of August } 31 & 8,000 \text { units }\end{array}$ The company has a selling price of $10 per unit and expects to maintain ending inventories equal to 20 percent of next month's sales.
How much is Accounts Receivable as of October 31?

• A)$420,000
• B)$460,000
• C)$240,000
• D)none of the above

---

Definitions:

Structured Interview

A systematic interviewing method where each interviewee is asked the same set of predetermined questions in the same order.

Past Behavior

Refers to an individual's previous actions or conduct, often considered in psychological assessments or predictive models of future behavior.

Achenbach System

A standardized tool used for assessing emotional and behavioral problems in children and adolescents.

Empirically Based Assessment

Assessment methods or tools that are grounded in and supported by empirical research and evidence.