1) Dove Corporation began its operations on September 1 of the current year. Budgeted sales for the first three months of business are $250,000, $320,000, and $410,000, respectively, for September, October, and November. The company expects to sell 25% of its merchandise for cash. Of sales on account, 70% are expected to be collected in the month of the sale and 30% in the month following the sale. The cash collections in November are

a.$317,750

b.$410,000

c.$490,000

d.$389,750

2) Free cash flow is flow cash from operations less cash used for

fixed assets needed to maintain productivity and cash to redeem bonds payable

investments in PP&E needed to achieve desired future production

investments in PP&E needed to maintain current production

dividends and cash to redeem bonds payable

3) Changes in the value of available-for-sale securities

are recognized on the income statement

are reported as part of stockholders' equity

are not recognized

are recognized on the income statement and as part of stockholders' equity