Determine the missing amounts in each of the following four independent scenarios: a. X Co. had a
Question:
Determine the missing amounts in each of the following four independent scenarios:
a. X Co. had a $4,500 beginning balance in accounts receivable on January 1, Year 4. During Year 4, the company earned $69,400 of revenue on account and collected $68,200 cash from accounts receivable. Based on this information alone, determine the amount of the ending balance in accounts receivable.
b. X Co. had a $3,400 ending balance in accounts receivable on December 31, Year 4. During Year 4, the company earned $62,200 of revenue on account and collected $63,100 cash from accounts receivable. Based on this information alone, determine the amount of the beginning balance in accounts receivable.
c. X Co. had a $9,700 beginning balance in accounts receivable on January 1, Year 4. During Year 4, the company earned $99,700 of revenue on account. The ending balance in accounts receivable was $10,300. Based on this information alone, determine the amount of cash collections from accounts receivable.
d. X Co. had a $22,000 beginning balance in accounts receivable on January 1, Year 4. During Year 4, the company collected $109,000 of revenue on account. The ending balance in accounts receivable was $21,300. Based on this information alone, determine the amount of cash collections from accounts receivable.
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...
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Introductory Financial Accounting for Business
ISBN: 978-1260299441
1st edition
Authors: Thomas Edmonds, Christopher Edmonds