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

74. Correct answer b. Planned net accounts receivable balance as of December 31 is $294,000:

November ($480,000 x .8 x .25) = $96,000

December ($450,000 x .8 x .55) = $198,000

Total AR as of December $294,000