January $26,400 Sales Production in units February $23,100 1,440 March $33,000 1,710 April $25,000 1.200 Sales are 30% cash and 70% on account, and 60% of credit sales are collected in the month of the sale. In the month after the sale, 30% of credit sales are collected. The remainder is collected two months after the sale. It takes 4 pounds of direct material to produce a finished unit, and direct materials cost $5 per pound. All direct materials purchases are on account, and are paid as follows: 40% in the month of the purchase, 50% the following month, and 10% in the second month following the purchase. Ending direct materials inventory for each month is 40% of the next month's production needs. January's beginning materials inventory is 1,080 pounds. Suppose that both accounts receivable and accounts payable are zero at the beginning of January Reference: Ref 10-13 The accounts receivable balance at the end of March is A. $15,477 B. $10,857 C. $9,240 D. $17,325