The Boat Works Started the Month with $1

question 35

Multiple Choice

The Boat Works started the month with $1.28 million in accounts receivable.Sales for the month were $3.4 million.The firm collects 35% of its sales in the month of sale with the remainder paid the following month.What is the accounts receivable balance at month end?

• A) $2.21 million
• B) $1.19 million
• C) $3.49 million
• D) $2.71 million