Cyber Monday 2024! Hurry Up, Grab the Special Discount - Save 25% - Ends In 00:00:00 Coupon code: SAVE25
Free Preparation Discussions
MENU
AICPA Exam CPA-Business Topic 1 Question 28 Discussion
Actual exam question for
AICPA's
CPA-Business exam
Question #: 28
Topic #: 1
[All CPA-Business Questions]
Topic #: 1
A firm averages $4,000 in sales per day and is paid, on an average, within 30 days of the sale. After they receive their invoice, 55 percent of the customers pay by check, while the remaining 45 percent pay by credit card. Approximately how much would the company show in accounts receivable on its balance sheet on any given date?
Suggested Answer:
A
Choice 'a' is correct. $120,000 accounts receivable approximation. There is no effect on total A/R based on how (i.e., check or credit card) the customers actually pay their A/R.
Currently there are no comments in this discussion, be the first to comment!