Benjamin Corporation Began Its Operations on September 1 of the Current

question 81

Multiple Choice

Benjamin Corporation began its operations on September 1 of the current year.Budgeted sales for the first three months of business are $250,000, $300,000, and $420,000, respectively, for September, October, and November.The company expects to sell 20% of its merchandise for cash.Of sales on account, 70% are expected to be collected in the month of the sale, 25% in the month following the sale, and the remainder in the following month. The cash collections from accounts receivable in September are:

• A) $175,000.
• B) $140,000.
• C) $190,000.
• D) $168,000.

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Definitions:

Diplomonads

Small, mostly parasitic excavates with one or two nuclei, no functional mitochondria, and one to four flagella.

Excavates

Flagellated unicellular protists, many of which have a deep (excavated) oral groove; include diplomonds, parabasilids, and euglenoids.

Golden Algae

A type of algae, typically found in freshwater and saltwater environments, known for its unique golden-brown color due to the pigment fucoxanthin.

Biflagellate

Organisms, often cells of algae or protozoa, that possess two flagella used for movement.