Final answer:
To find the total credit sales, we start with the Accounts Receivable balance at the beginning of May, add the credit sales, subtract the customer payments, and match it to the ending balance. After calculating using the provided figures, the total credit sales for Holden Company during May amounted to $47,000. Therefore, the most appropriate option is B.
Step-by-step explanation:
The question pertains to calculating credit sales for Holden Company during May using given information about the Accounts Receivable balances and customer payments. To compute the amount of credit sales, we must take into account the opening balance of Accounts Receivable, add the total credit sales for the month, and then subtract the customer payments that have been credited to the account. The final step is to ensure the result matches with the closing balance of Accounts Receivable for May. The original balance on April 30 was $18,000, and the final balance on May 31 was $13,000. The total payments received during May amounted to $52,000 being the total credits to the Accounts Receivable. We can summarize this with the following equation:
Beginning Accounts Receivable + Credit Sales - Customer payments = Ending Accounts Receivable
$18,000 + Credit Sales - $52,000 = $13,000
Credit Sales = $13,000 + $52,000 - $18,000
Credit Sales = $47,000
Therefore, the correct answer is $47,000 (option b), representing the total credit sales for Holden Company during the month of May.