Martinque and Son Have a 60 Day Collection Period

question 77

Multiple Choice

Martinque and Son have a 60 day collection period.Sales for the next calendar year are estimated at £1,200, £1,100, £2,300 and £1,800, respectively, by quarter starting with the first quarter of the
Year.Given this information, which one of the following statements is correct? Assume that a year
Has 360 days.

• A)The firm will collect £1,133 in Quarter 2.
• B)The trade receivables balance at the beginning of Quarter 4 will be £767.
• C)The firm will collect £367 from Quarter 2 sales in Quarter 3.
• D)The firm will have a trade receivables balance of £1,200 at the end of the year.
• E)The firm will collect a total of £1,967 in Quarter 4.

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Definitions:

Internal Company Data

Information collected from within an organization, used for analysis, decision-making, and strategic planning.

Competitive Intelligence

The systematic gathering of data about strategies that direct and indirect competitors are pursuing in terms of new-product development and the marketing mix.

Market Research

The process of gathering, analyzing, and interpreting information about a market, including about potential customers, competitors, and the industry as a whole.

Web Scraping

The process of automatically extracting large amounts of data from websites, typically using specialized software or scripts.