Becker Carpets Makes All Sales on Credit with 50% of the Payment

question 12

Short Answer

Becker Carpets makes all sales on credit with 50% of the payment being received in the month of sale,40% in the month following sale and the remaining 10% in the subsequent month. Budgeted sales are as follows
$\begin{array} { l l } \text { January } & \$ 100000 \\ \text { February } & \$ 140000 \\ \text { March } & \$ 120000 \end{array}$
The budgeted balance of debtors at 31 March is:
a. $\$ 14000$
b. $\$ 60000$
c. $\$ 74000$
d. $\$ 120,000$

---

Definitions:

Homeostasis

The self-regulating process by which biological systems maintain stability while adjusting to changing external conditions to support life.

Metabolism

The biochemical process by which organisms convert food into energy and building blocks for growth, maintenance, and repair.

Organization

The arrangement of elements (such as cells, tissues, departments, and processes) in a structured order to form a coherent and functioning whole.

Banded Sunfish

A freshwater fish species characterized by its distinctive bands or stripes, found in the eastern United States.