Q29
Single choice
XYZ has the following data relating to the forecast sale of goods for the quarter to 31 December 20X2:
XYZ expects trade receivables to be settled as follows:
1. 20% in the month of sale, by offering a settlement discount of 5%;
2. 30% in the month following sale, and
3. the remainder, after allowing for irrecoverable debts, in the subsequent month
4. $10,000 of the sales made in October 20X2 are expected to be irrecoverable
What is the forecast amount to be received by XYZ from trade receivables in December 20X2?