Question
Alpha has both cash sales and credit sales. In addition, customers will often pay in advance for special orders of merchandise. The following information is
- Alpha has both cash sales and credit sales. In addition, customers will often pay in advance for special orders of merchandise. The following information is included in Alpha's December 31 balance sheets for 2022 and 2023:
Unearned Sales Revenue
2022 - $20,000
2023 - $11,000
Accounts Receivable
2022 - $25,000
2023 - $15,000
During 2023, Alpha received total cash of $180,000 from customers. In its income statement for the year ended December 31, 2023, how much sales revenue should Alpha report on an accrual basis?
Group of answer choices
$161,000
$181,000
$199,000
The correct answer is not listed.
$179,000
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started
Financial Accounting
Authors: Jerry J. Weygandt, Paul D. Kimmel, Donald E. Kieso
11th Edition
1119594596, 978-1119594598
