b. On July 1, the accounts receivable account balance was $49,000. During July, $525,000 was collected from customers on account. Assuming the July 31 balance was $61,500, determine the fees billed to customers on account during July.
c. On September 1, the cash account balance was $28,440. During September, cash receipts totaled $112,100 and the September 30 balance was $33,200. Determine the cash payments made during September.
Answer:
a. Accounts Payable Mar. 1 X 276,500 261,000 Mar. 31 76,000 X + $261,000 – $276,500 = $76,000 X = $76,000 + $276,500 – $261,000 X = $91,500
b. Accounts Receivable July 1 49,000 525,000 X July 31 61,500 $49,000 + X – $525,000 = $61,500 X = $61,500 + $525,000 – $49,000 X = $537,500
c. Cash Sept. 1 28,440 X 112,100 Sept. 30 33,200 $28,440 + $112,100 – X = $33,200 X = $28,440 + $112,100 – $33,200 X = $107,340