Answer:
$765,000
Explanation:
The computation of the accounts receivable balance is shown below:
We know that
Days Sales Outstanding = (Accounts receivable ÷ Credit Sales) × Total number of days in a year
46 days = (Account receivable ÷ $6,205,000) × 365 days
So, the account receivable would be
= ($6,205,000 × 45 days) ÷ 365 days
= $765,000
We simply applied the above formula.
