(Appendix 10A) Taft Corporation Collects Cash from Customers as Follows

question 30

Multiple Choice

(Appendix 10A) Taft Corporation collects cash from customers as follows: 60% in the month of sale, 20% in the month after sale, 19% in the second month after sale, and 1% is never collected. Bad debts are written off annually in December. Budgeted sales are all on credit and amount to:
May $600,000
June 700,000
July 500,000
August 600,000
What is the budgeted amount of cash to be collected in July?

• A) $560,000
• B) $554,000
• C) $558,000
• D) $551,000

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Definitions:

Childhood Inferiorities

Feelings of inadequacy believed to begin in childhood, which can influence adult behavior and personality, as per theories in psychology, notably by Alfred Adler.

Extraversion-Introversion

A personality dimension that describes the extent to which an individual is outgoing and enjoys social interaction versus being more reserved and solitary.

Jung

Carl Jung, a Swiss psychiatrist and psychoanalyst who founded analytical psychology, known for concepts like archetypes and the collective unconscious.

Big Five

A model that outlines five broad dimensions used to describe human personality: openness, conscientiousness, extraversion, agreeableness, and neuroticism.