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Nuthatch Corporation began its operations on September 1 of the current year. Budgeted sales for the first three months of business September, October, and November are $248,000, $316,000, and $413,000, respectively. The company expects to sell 30% of its merchandise for cash. Of sales on account, 80% are expected to be collected in the month of the sale and 20% in the month following the sale.
Problem 1: The cash collections expected in November from accounts receivable are projected to be:
a. $231,280b. $330,624c. $187,040d. $275,520
APP always takes the discount but takes the full 15 days to pay its bills. What is the average accounts payable for APP
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