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CTP · Question #395

CTP Question #395: Real Exam Question with Answer & Explanation

The correct answer is B. $15,000. See the full explanation below for the reasoning.

Question

  • (Topic 4) PFA Corporation has used regression analysis based on historical data to determine the estimated portion of dollars of checks issued that will clear on any given business day. If PFA issued $150,000 in checks and $7,500 worth of checks cleared on day 5, what value of checks will be estimated to clear on day 4?

Options

  • A$7,500
  • B$15,000
  • C$22,500
  • D$30,000

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