Question 4 4.5 pts The following selected account balances w ere taken from Buck

Question

Question 4 4.5 pts The following selected account balances w ere taken from Buckeye Company's general ledger at January 1, 2018 and Dec ember 31, 2018 Accounts receivable 36,000 Inventory 28,000 Accounts payable 31,000 Salaries payable 12,000 Investments 48,000 Land B0,000 Mortgage payable 50,000 Common stock 130,000 Retained earnings 38,000 42,000 25,000 35,000 1,000 34,000 60,000 100,000 110,000 20,000 The following information was taken from Buckeye Company's 2018 income statement: Sales revenue Cost of goods sold Salaries expense Gain on sale of investments Net income $420,000 300,000 90,000 2,000 s 32,000 Calculate the amount of cash collected fr om customers during 2018

Explanation / Answer

Beginning Accounts Receivable = $42,000
Sales Revenue = $420,000
Ending Accounts Receivable = $36,000

Cash Collection from Customers = Beginning Accounts Receivable + Sales Revenue - Ending Accounts Receivable
Cash Collection from Customers = $42,000 + $420,000 - $36,000
Cash Collection from Customers = $426,000

Related Questions

Navigate

• Browse (All)
• Browse Q
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.