Total credit revenue from operations of a firm is Rs.5,40,000. Average collection period is 3 months. Opening debtors are Rs. 1,10,000. Its closing debtors will be :
A. Rs.1,35,000
B. Rs.1,60,000
C. Rs.2,20,000
D. Rs.1,80,000
Answer:B
Total credit revenue from operations of a firm is Rs.5,40,000. Average collection period is 3 months. Opening debtors are Rs. 1,10,000. Its closing debtors will be :
A. Rs.1,35,000 B. Rs.1,60,000 C. Rs.2,20,000 D. Rs.1,80,000