Use the Following Information to Answer the Following Questions

question 9

Multiple Choice

Use the following information to answer the following Questions
Morgan Company's budgeted income statement reflects the following amounts:

Sales are collected 50% in the month of sale, 30% in the month following sale, and 19% in the second month following sale. One percent of sales is uncollectible and expensed at the end of the year.
Morgan pays for all purchases in the month following purchase and takes advantage of a 3% discount. The following balances are as of January 1:

*Of this balance, $35,000 will be collected in January and the remaining amount will be collected in February.
The monthly expense figures include $5,000 of depreciation. The expenses are paid in the month incurred


-Morgan's budgeted cash receipts in February are:

• A) $91,000.
• B) $95,000.
• C) $113,090.
• D) $113,640.
• E) $114,000.

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Definitions:

Longitudinal Study

A research design that involves repeated observations of the same variables (e.g., people) over short or long periods of time.

Cross-sectional Study

A research design that involves analyzing data from a population, or a representative subset, at a specific point in time.

Double-blind Experiment

An experimental design where neither the participants nor the experimenters know who is receiving a particular treatment, preventing bias in the results.

Longitudinal

Relating to research that involves repeated observations of the same variables over short or long periods of time.