Apple Two Enterprises Expects to Generate Sales of $5,950,000 for Fiscal

Multiple Choice

Apple Two Enterprises expects to generate sales of $5,950,000 for fiscal 2014; sales were $3,450,000 in fiscal 2013. Assume the following figures for the fiscal year ending 2013: cash $70,000; accounts receivable $250,000; inventory $400,000; net fixed assets $520,000; accounts payable $235,000; and accruals $155,000. Use the percent-of-sales method to forecast accounts payable for the fiscal year ending 2014.

A) $212,036
B) $405,290
C) $619,619
D) $155,000