Question

During the month of March, Harley's Computer Services made purchases on account totaling $45,500. Also during the month of March, Harley was paid $11,000 by a customer for services to be provided in the future and paid $37,900 of cash on its accounts payable balance. If the balance in the accounts payable account at the beginning of March was $78,300, what is the balance in accounts payable at the end of March

Answer 1

$85,900

Step-by-step explanation:

The balance in the account payable at the end of March is computed as;

= Beginning balance of account payable + purchase made - paid amounts of its account payable balance

= $78,300 + $45,500 - $37,900

= $85,900

Please note that the amount for services to be provided in the future is not in anyway related to account payable, thereby must be excluded.