Johnson Equipment Expects the Following Sales in January,February,and March

question 179

Multiple Choice

Johnson Equipment expects the following sales in January,February,and March:
The controller has determined that the company collects credit sales as follows: 60% in the month of sale,35% in the first month after sale,and 5% in the second month after sale.How much cash will be collected from customers in March?

• A) $291,500
• B) $376,500
• C) $410,000
• D) None of these ans choices are correct.

---

Definitions:

Sole Proprietorships

A business structure where a single individual owns and operates the business, enjoying complete control but also bearing unlimited personal liability for its debts.

Regulatory Requirements

Legal obligations that entities must follow, often established by government agencies to regulate industry standards and protect public welfare.

Agent's Authority

The scope of power given to an agent to act on behalf of a principal in legal or financial matters.

Termination

The act of ending or concluding something, such as a contract, employment, or agreement, through specific actions or by operation of law.