Use the Following Information for Questions 99 - 101

question 84

Multiple Choice

Use the following information for questions 99 - 101.
During 2014, Martin Corporation sold merchandise costing $3,500,000 on an installment basis for $5,000,000. The cash receipts related to these sales were collected as follows: 2014, $2,000,000; 2015, $1,750,000; 2016, $1,250,000.
-If expenses, other than the cost of the merchandise sold, related to the 2014 installment sales amounted to $200,000, by what amount would Martin's net income for 2014 increase as a result of installment sales?

• A) $1,800,000
• B) $ 600,000
• C) $ 450,000
• D) $ 400,000

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Definitions:

Instinct Concept

The inherent inclination of a living organism towards a particular complex behavior.

Motivated Behavior

Actions that are driven by internal needs or desires, often aimed at achieving a specific goal or fulfilling a need.

Instinct Theory

The view that behaviors are motivated by instincts, which are innate tendencies or biological forces that determine human actions.

Inborn Patterns

Innate behaviors or responses that are genetically programmed and evident from birth.