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The beginning balance in Accounts Receivable on Company A’s Year 2 Balance Sheet is $20,000 and the ending balance is $110,000. Cash collections from customers are $105,000, and an account for a customer owing $5,000 was written off because the company didn’t think the customer would pay. What is the Sales on account during Year 2 on the Year 2 Income Statement? Assuming no other transactions affected the account during the year.
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Suppose you are interested in looking at the relationship between season and sales of a product that your company sells. You expect that sales are highest in the winter season. An analyst on your team lets you know that at the moment, only data from the most recent winter season are available to be analyzed.
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