Question
On Jan 1, 2015 the Company had a $5,000 balance in the Accounts Receivable account and a zero balance in the Allowance for Doubtful Accounts
On Jan 1, 2015 the Company had a $5,000 balance in the Accounts Receivable account and a zero balance in the Allowance for Doubtful Accounts account.
During the year, company provided $20,000 of service on account and collected $18,000 cash from account receivable. Bad debts are estimated to be 3% of sales on account.
Calculate the amount of cash flow from operating activities?
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Financial And Managerial Accounting
Authors: Charles T. Horngren, Walter T. Harrison Jr., M. Suzanne Oliver
1st Edition
0558241050, 978-0558241056
