ile lutUre amount will be received 19. What is the present value of an annuity of $20,000 payment each year for five years assuming a 10% discount rate and a present value factor of 3.7907? a. $5,276 b. $26,380 c. $75,814 d. $379,070 20. Scott Industries Inc. expects the following credit sales in January, February and March: Credit Sales January $270,000 February $240,000 March $355,000 The Controller has determined that the company collects credit sales as follows: 60% in the month of the sale, 30% in the first month after the sale, 5% in the second month after the sal and 5% is determined to be uncollectible. How much cash will be collected from customers in March? a. $216,500 b. $301,500 c. $298,500 d. $335,000 21. Which of the following is an advantage of decentralization? a. Duplication of effort is minimized. b. The potential for sharing ideas throughout the organization is enhanced. c. Lower level managers understand the companies strategies and goals, and thus make decisions that are in the best interest of the organization as a whole. Top management is free to focus on the long-term strategies of the organization. d