Answer:
Sales…………………………………………………………………………………………… $112,000
Add decrease in accounts receivable…………………………………………………… 10,500
Cash received from customers…………………………………………………………… $122,500
PE 16-6B Cash received from customers—direct method
Sales reported on the income statement were $112,000. The accounts receivable balance decreased $10,500 over the year. Determine the amount of cash received from customers.
Answer:
Sales…………………………………………………………………………………………… $112,000
Add decrease in accounts receivable…………………………………………………… 10,500
Cash received from customers…………………………………………………………… $122,500
Answer:
Sales…………………………………………………………………………………………… $112,000
Add decrease in accounts receivable…………………………………………………… 10,500
Cash received from customers…………………………………………………………… $122,500