McLeod Fries,Inc

question 104

Multiple Choice

McLeod Fries,Inc.has budgeted sales for June and July at $670,000 and $770,000,respectively.Sales are 85% credit,of which 60% is collected in the month of sale and 40% is collected in the following month.What is the budgeted Accounts Receivable balance on July 31?

• A) $308,000
• B) $261,800
• C) $227,800
• D) $654,500

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Definitions:

Oxygenated Blood

Blood that has been oxygenated by the lungs and is being transported by the arteries to the tissues throughout the body.

Deoxygenated Blood

Blood that has released its oxygen load to the tissues and contains a higher concentration of carbon dioxide, returning to the heart and then to the lungs for re-oxygenation.

Heart Valves

Structures within the heart that open and close to control the flow of blood through the heart's chambers and into the arteries.

Aorta

Originating from the heart's left ventricle and stretching to the abdomen, it is the body's biggest artery, responsible for delivering oxygen-rich blood to the circulatory system.