Nuthatch Corporation began its operations on September 1 of the current year. Budgeted sales for the first three months of business September, October, and November are $238,000, $302,000, and $407,000, respectively. The company expects to sell 30% of its merchandise for cash. Of sales on account, 80% are expected to be collected in the month of the sale and 20% in the month following the sale. The cash collections expected in September from accounts receivable are estimated to be:

a. $248,000
b. $138,880
c. $173,600
d. $297,600

b. $138,880

Explanation:

Calculation to determine what The cash collections expected in September from accounts receivable are estimated to be:

First step is to calculate

(Cash) Sept sales=($248,000*30%)

(Cash) Sept sales=$74,400

Now let calculate September Expected Cash collections

(Credit) Sept sales=($248,000- $74,400)*80%

(Credit) Sept sales=$173,600*80%

(Credit) Sept sales=$138,880

Therefore The cash collections expected in September from accounts receivable are estimated to be:$138,880

answer; /// the above statement is (true);

the answer is "b.the increased supply will create a surplus. "

the essential thought behind price controls is straightforward - utilize the power of law to modify the equilibrium of a market. for instance, the legislature may choose that the steel business needs to survive, and in this way pass a law to set a value floor on steel. this implies all steel sold must offer at or over the floor value, which must be set over the equilibrium cost for it to have any impact. the switch could likewise happen - the administration can choose that steel is excessively costly and set a value roof underneath its equilibrium value, with the goal that all steel must be sold at or beneath that ceiling.