asked 67.4k views
2 votes
The financial statements of New World, Inc., provide the following information for the current year: Dec.31 Jan.1Accounts receivable $ 273,000 $ 241,500 Inventory $ 262,500 $ 252,000 Prepaid expenses $ 67,200 $ 63,000 Accounts payable (for merchandise) $ 237,300 $ 221,550 Accrued expenses payable $ 66,150 $ 72,450 Net sales $ 3,097,500 Cost of goods sold $ 1,627,500 Operating expenses (including $ 367,500 depreciation of $94,500) Compute the amount of cash received from customers during the current year.Select one:a. $3,066,000b. $3,097,500c. $3,612,000d. $3,129,000

1 Answer

5 votes

Answer:

A $3066000

Step-by-step explanation:

The formula for cash received from customers is: opening receivables+net sales-closing receivables.

The rationale behind the formula is that opening receivables would have turned cash by year end since current asset last one year maximum.

=$241500+$3097500-$273000

=$3066000

answered
User Petershine
by
8.5k points
Welcome to Qamnty — a place to ask, share, and grow together. Join our community and get real answers from real people.