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Question - Ross Corporation makes all sales on account. The June 30th balance sheet balance in its accounts receivable is $450,000, of which $240,000 pertain to sales that were made during June. Budgeted sales for July are $1,300,000. Ross collects 70% of sales in the month of sale; 10% in the following month; and the final 20% in the second month after the sale.
What are Ross's budgeted collections for July?
a. $976,000
b. $1,200,000
c. $1,150,000
d. $1,144,000
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