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QUESTION 47 Leaning Tower of Pizza, Inc. is preparing its master budget for its first year of business. It expects to sell 1,000 pizzas at $8 per pizza per month. It expects to collect 90% of the sales revenue in the month of the sale and 10% in the following month. Calculate its accounts receivable balance at the end of its first year.

QUESTION 47 Leaning Tower of Pizza, Inc. is preparing its master budget for its first year of business. It expects to sell 1,000 pizzas at $8 per pizza per month. It expects to collect 90% of the sales revenue in the month of the sale and 10% in the following month. Calculate its accounts receivable balance at the end of its first year.

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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QUESTION 47 Leaning Tower of Pizza, Inc. is preparing its master budget for its first year of business. It expects to sell 1,000 pizzas at $8 per pizza per month. It expects to collect 90% of the sales revenue in the month of the sale and 10% in the following month. Calculate its accounts receivable balance at the end of its first year.
Transcribed Image Text:QUESTION 47 Leaning Tower of Pizza, Inc. is preparing its master budget for its first year of business. It expects to sell 1,000 pizzas at $8 per pizza per month. It expects to collect 90% of the sales revenue in the month of the sale and 10% in the following month. Calculate its accounts receivable balance at the end of its first year.
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