During Its First Year of Operations,Puffin,Inc

question 151

Multiple Choice

During its first year of operations,Puffin,Inc.reported Sales Revenue of $772,000 but collected only $606,000 from customers.At the end of the year,Accounts Receivable equals:

• A)$1,378,000.
• B)$772,000.
• C)$606,000.
• D)$166,000.

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Definitions:

Willingness to Pay

The maximum amount an individual is prepared to spend to acquire a good or service or to avoid something undesirable.

Consumer Surplus

The gap between the amount consumers are prepared to spend on a good or service and the actual price they pay, signifying consumers' advantage.

Refrigerator

An appliance used to keep food and drinks cool and preserved by maintaining a temperature below the ambient level.