Determine the missing amounts in each of the following four independent scenarios: a. W Co. had a

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Determine the missing amounts in each of the following four independent scenarios:

a. W Co. had a $5,000 beginning balance in accounts receivable on January 1, Year 4. During Year 4, the company earned $72,500 of revenue on account and collected $70,000 cash from accounts receivable. Based on this information alone, determine the amount of the ending balance in accounts receivable.

b. W Co. had a $3,200 ending balance in accounts receivable on December 31, Year 4. During Year 4, the company earned $60,600 of revenue on account and collected $61,200 cash from accounts receivable. Based on this information alone, determine the amount of the beginning balance in accounts receivable.
c.
W Co. had an $11,300 beginning balance in accounts receivable on January 1, Year 4. During Year 4, the company earned $102,400 of revenue on account. The ending balance in accounts receivable was $15,800. Based on this information alone, determine the amount of cash collections from accounts receivable.
d.
W Co. had an $18,000 beginning balance in accounts receivable on January 1, Year 4. During Year 4, the company collected $125,000 of revenue on account. The ending balance in accounts receivable was $28,500. Based on this information alone, determine the amount of cash collections from accounts receivable

Accounts Receivable
Accounts 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

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