ABC Company Began the Month with a Balance of $70,000 $$85,000 from This Information, It Can Be Determined That the in Accounts

question 172

Multiple Choice

ABC Company began the month with a balance of $70,000 in Accounts Receivable. An analysis of the account determined that sales on account for the month totaled $110,000. At the end of the month, the balance in Accounts Receivable was $$85,000. From this information, it can be determined that the ABC Company had collections from customers on account of:

• A) $15,000.
• B) $45,000.
• C) $95,000.
• D) $115,000.

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Definitions:

Substantial Part

A significant or large portion of a whole, which is essential or important in nature.

Anticipatory Repudiation

A declaration or action by a party indicating they will not fulfill their contractual obligations, allowing the other party to seek remedies.

Expressly Notifies

To inform or declare something in a direct and explicit manner.

Conforming Goods

Items that meet the specifications and standards set forth in a purchase contract.