Question
The following details have been extracted from the receivable collection records of Beta Limited: Invoices paid in the month after sale 50% Invoices paid in
The following details have been extracted from the receivable collection records of Beta Limited:
Invoices paid in the month after sale 50%
Invoices paid in the second month after sale 30%
Invoices paid in the third month after sale 15%
Irrecoverable debts 5%
Invoices are issued on the last day of each month.
Customers paying in the month after sale are entitled to deduct a 3% settlement discount. Credit sales values for July to October are budgeted as follows:
July August September October
80,000 60,000 100,000 70,000
The amount budgeted to be received in October from credit customers is:
A.72,950
B.75,000
C.76,500
D.78,500
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