Question: Problem description: Q14 - Q15 The following transition matrix describes the accounts receivable process for a Department Store: p 1 2 b p 0 0

Problem description: Q14 - Q15 The following

Problem description: Q14 - Q15 The following transition matrix describes the accounts receivable process for a Department Store: p 1 2 b p 0 0 0 1 1 0.8 0.6 0 0 2 0.1 0.2 0.5 0 b 0.1 0.2 0.5 0 The states p and b represent an account that is paid and a bad account, respectively. The numbers 1 and 2 represent the fact that an account is either 1 or 2 months overdue, respectively. After an account has been overdue for 2 months, it becomes a bad account and is transferred to the store's overdue accounts section for collection. The company has sales of $210,000 each month. Q14) Determine how much the company will be paid Q15) How much of the debts will become bad debts in a 2-month period

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