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Michael Ltd

Question 62

Multiple Choice

Michael Ltd. has the following sales forecasts for the first three months of 2004: Sixty-five percent of sales are collected in the month of the sale and the remainder are collected in the following month.
Michael Ltd. has the following sales forecasts for the first three months of 2004: Sixty-five percent of sales are collected in the month of the sale and the remainder are collected in the following month. Minimum cash balance is £20,000. Cash can be borrowed in £1,000 increments from the local bank (assume no interest charges) . How much cash would be collected in March from sales? A) £32,000 B) £58,400 C) £48,000 D) £34,400 Minimum cash balance is £20,000. Cash can be borrowed in £1,000 increments from the local bank (assume no interest charges) . How much cash would be collected in March from sales?
Michael Ltd. has the following sales forecasts for the first three months of 2004: Sixty-five percent of sales are collected in the month of the sale and the remainder are collected in the following month. Minimum cash balance is £20,000. Cash can be borrowed in £1,000 increments from the local bank (assume no interest charges) . How much cash would be collected in March from sales? A) £32,000 B) £58,400 C) £48,000 D) £34,400


A) £32,000
B) £58,400
C) £48,000
D) £34,400

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