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Question - Suppose that Sales for the entire year were $200,000 and Cost of Goods Sold 60% of Sales. The Inventory Balance is $10,000, the Receivables Collection Period is 20 days. What is the Average Accounts Receivable?
a. 5,000
b. 11,111
c. 14,141
d. 23,300
Enter the beginning balances in the accounts and post the journal entries to the stockholders' equity accounts. (Use J1 as the posting reference.)
The Enchantment Company is considering an expansion of its present facilities to meet an expected increase demand for its product. The company's current contribution margin ratio is 20 percent.
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