The following information was taken fromBlossom Companycash budget for the month of July:

Beginning cash balance $148000

Cash receipts1 42000

Cash disbursements 201000

If the company has a policy of maintaining an end of the month cash balance of $148000, the amount the company would have to borrow is

$88500.

$59000.

$29500.

$45000.

The following credit sales are budgeted byVaughn Manufacturing:

May $485500

June 714000

July 999600

August 856800

The company's past experience indicates that70% of the accounts receivable are collected in the month of sale,20% in the month following the sale, and8% in the second month following the sale. The anticipated cash inflow for the month of August is

$856800.

$799680.

$839660.

$881360.

Sunland Companyuses the percentage of receivables method for recording bad debts expense. The accounts receivable balance is $210000and credit sales are $2110000. Management estimates that5% of accounts receivable will be uncollectible. What adjusting entry willSunland Companymake if the Allowance for Doubtful Accounts has a credit balance of $2100before adjustment?

Bad Debt Expense 8400

Accounts Receivable 8400

Bad Debt Expense 10500

Accounts Receivable 10500

Bad Debt Expense 10500

Allowance for Doubtful Accounts 10500

Bad Debt Expense 8400

Allowance for Doubtful Accounts 8400

Skysong, Inc.unadjusted trial balance includes the following balances (assume normal balances):

Accounts Receivable$1160000

Allowances for Doubtful Accounts$21100

Bad debts are estimated to be6% of outstanding receivables. What amount of bad debt expense will the company record?

$47222

$71078

$48500

$69600

The financial statements of theSheffield Corp.report net sales of $300000and accounts receivable of $56400and $33600at the beginning of the year and the end of the year, respectively. What is the average collection period for accounts receivable in days?(Use 365 days for calculation.)

54.8

95.3

44.6

64.9

Vaughn Manufacturinghad net credit sales during the year of $1107200and cost of goods sold of $652000. The balance in accounts receivable at the beginning of the year was $104400and at the end of the year was $151600. What was the accounts receivable turnover?

7.4

5.5

10.7

8.7