Polaris Industries is forecasting its financial statements for Year 10

Polaris Industries is forecasting its financial statements for Year 10. Selected financial information for Year 9 is provided in the table. What is the forecasted balance of cash in Year 10? (Cash is the plug account.

) Use the percentage of sales method to calculate accounts receivable for year 10 (based on the Year 9 values).

Selected Financial Information
Polaris Industries Inc ($000s)
Year 9 Forecast
Revenue $2,084,194 $2,292,614

Current Assets
Cash $ 19,675
Accounts Receivable 354,313
Total current assets 373,988
Net property and equipment 300,000 300,000
Goodwill 172,632 172,632
Total Assets $846,620
LIABILITIES & OWNERS’ EQUITY
Total Liabilities $446,053 $494,047
Total owners’ equity 400,567 455,337
Total Liabilities & Owners’ Equity $846,620 $949,384

A) $80,300
B) $85,343
C) $87,008
D) $89,078
E) $90,731

ANSWER

C