Romona Company expects its November sales to be % higher than its October sales of . All sales are on credit and are collected as follows: % in the month of the sale and % in the following month. Purchases were in October and are expected to be in November. Purchases are paid % in the month of purchase and % in the following month. The cash balance on November 1 is . The cash balance on November 30 will be

$95,050

Explanation:

Calculation to determine the cash balance on November 30

First step is to find the November sale using this formula

November sale = October sale × (1 + rate of increase)

Let plug in the formula

November sale = 210,000 × (1 + 0.15)

November sale = 210,000 × 1.15 November sale = 241,500

Second is to calculate for the Collection for sale using this formula

Collection for sale = November sale × 30% + October sale × 65%

Let plug in the formula

Collection for sale = 241,500 × 30% + 210,000 × 65%

Collection for sale = 72,450 + 136,500

Collection for sale= 208,950

The third step is to calculate for Payment for purchases

Using this formula

Payment for purchases = November purchases × 30% + October purchases × 70%

Let plug in the formula

Payment for purchases= 190,000 × 30% + 100,000 × 70%

Payment for purchases = 57,000 + 70,000

Payment for purchases =127,000

The last step is to calculate for the cash balance on November 30

Cash balance on November 30 = November 1 Beginning Cash + Collection for sale -Payment for purchases

Let plug in the formula

Cash balance on November 30 = 13,100 + 208,950 - 127,000

Cash balance on November 30 =$95,050

Therefore the cash balance on November 30 will be $95,050

answer: most likely c

explanation:

answernet income for 2017 will be greater if the inventory quantity declines;