Data from Dunshee Corporation's Most Recent Balance Sheet Appear Below

question 109

Multiple Choice

Data from Dunshee Corporation's most recent balance sheet appear below: Sales on account in Year 2 amounted to $1,170 and the cost of goods sold was $730. The average collection period for Year 2 is closest to:

• A)1.1 days
• B)0.9 days
• C)84.3 days
• D)87.3 days

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Definitions:

Proactive Interference

The phenomenon where older memories interfere with the recall of new information.

Serial-Order Effect

The tendency of a person to recall the first and last items in a series best, and the middle items worst.

Proactive Interference

A phenomenon where old information inhibits the ability to remember new information.

Alzheimer's Disease

A progressive neurological disorder that causes memory loss, cognitive decline, and ultimately, loss of ability to perform even simple tasks, due to brain cell degeneration.