1. Accounts Receivable has a beginning balance of $425,000 and an ending balance of $437,000. Cash collected...
Question:
1. Accounts Receivable has a beginning balance of $425,000 and an ending balance of $437,000. Cash collected from customers during the period was $1,263,000. Sales for the period were:
(a) $1,251,000.
(b) $1,263,000.
(c) $1,275,000.
(d) $1,287,000.
2. Ruse Inc. reported net income for 2013 of $174,000. Ruse also reported the following related to its current assets and liabilities:
............................................................. Dec. 31, 2013 .................. Dec. 31, 2012
Accounts receivable . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 84,000 ......................... $ 86,000
Inventory . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 117,000 .......................... 101,000
Accounts payable . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 150,000 ......................... 140,000
What amount should be reported by Ruse Inc. as cash provided by operating activities in the statement of cash flows?
(a) $150,000
(b) $170,000
(c) $178,000
(d) $198,000
3. In the statement of cash flows (using the indirect method), an increase in interest payable should be presented as a(n):
(a) Subtraction from net income in the Operating Activities section.
(b) Addition to net income in the Operating Activities section.
(c) Subtraction in the Financing Activities section.
(d) Addition in the Financing Activities section.
Accounts ReceivableAccounts receivables are debts owed to your company, usually from sales on credit. Accounts receivable is business asset, the sum of the money owed to you by customers who haven’t paid.The standard procedure in business-to-business sales is that...
Step by Step Answer:
1 The correct answer is C Because accounts receivable increased during the period that indicates tha...View the full answer
