Benjamin Corporation Began Its Operations on September 1 of the Current

question 51

Multiple Choice

Benjamin Corporation began its operations on September 1 of the current year. Budgeted sales for the first three months of business are $250,000, $300,000, and $420,000, respectively, for September, October, and November. The company expects to sell 20% of its merchandise for cash. Of sales on account, 70% are expected to be collected in the month of the sale, 25% in the month following the sale, and the remainder in the following month. Refer to the information provided for Benjamin Corporation. The cash collections from accounts receivable in October are:

• A) $270,000.
• B) $272,500.
• C) $210,000.
• D) $218,000.

---

Definitions:

Earliest Due Date

A scheduling strategy that prioritizes tasks based on the earliest deadline.

EDD

EDD stands for "Earliest Due Date," a priority rule used in scheduling to prioritize jobs with the earliest due dates first.

Designation

The act of assigning a name, title, or classification to something.

Actual Input

The real, measured input into a process, system, or activity, as opposed to theoretical or estimated input.