UNIT 8 $6,860 ($9,800 X .70) COST OF NEXT 7 UNITS = (8 X $6,860...

79. Correct answer b. ANNCO’s January cash collections total $174,500 as shown below.

November sales collections = $ 49,500

December sales collections = ($162,000 ÷ .9) x .6 = 108,000

January sales collections = $170,000 x .1 = 17,000

Total cash collections $174,500