Fuson Corporation Makes One Product and Has Provided the Following

question 17

Multiple Choice

Fuson Corporation makes one product and has provided the following information to help prepare the master budget for the next four months of operations:
Credit sales are collected:
30% in the month of the sale
70% in the following month
Raw materials purchases are paid:
30% in the month of purchase
70% in the following month
The ending finished goods inventory should equal 10% of the following month's sales. The ending raw materials inventory should equal 10% of the following month's raw materials production needs.
-The budgeted accounts receivable balance at the end of November is closest to:

• A) $795,000
• B) $357,540
• C) $1,191,800
• D) $834,260

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Definitions:

Poverty Income Threshold

The Poverty Income Threshold is the minimum level of income deemed necessary to achieve an adequate standard of living, used to identify those living in poverty.

Inflation

A general rise in the price level.

Public Assistance

Government programs designed to provide financial aid to individuals and families in need, including healthcare, food assistance, and housing subsidies.

Economic Conditions

The state of an economy at a given time, including factors like unemployment rates, inflation rates, and GDP growth.