Use the Information Below to Answer the Following Question(s)

question 7

Multiple Choice

Use the information below to answer the following question(s) .Gold Corporation has the following sales budget for the last six months of 2019:
Historically, the cash collection of sales has been as follows:

-What is the ending balance of accounts receivable at the end of September assuming uncollectible balance is written off in the third month after the sale?

• A)$199,000
• B)$108,000
• C)$104,000
• D)$93,000
• E)$88,000

---

Definitions:

Promising to Pay

A commitment or agreement by an individual or entity to fulfill a financial obligation at a future date.

Interest

The cost of borrowing money or the return that is earned on invested funds, typically expressed as an annual percentage rate.

Using Money

Likely referring to the utilization of financial resources or capital for transactions, investments, or other financial activities.

Term

A fixed or limited period for which something, such as an agreement or investment, lasts or is intended to last.