Accounts receivable management An evaluation of the books of Blair Supply, which

follows, gives the end-of-year accounts receivable balance, which is believed to consist

of amounts originating in the months indicated. The company had annual sales

of $2.4 million. The firm extends 30-day credit terms.

Month of origin Accounts receivable

July $ 3,875

August 2,000

September 34,025

October 15,100

November 52,000

December 193,000

Year-end accounts receivable $300,000

a. Use the year-end total to evaluate the firm