# Question: Tertia Company presents balance sheets at the beginning and end

Tertia Company presents balance sheets at the beginning and end of Year 8 (Exhibit 3.15),
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as well as a statement of cash receipts and disbursements (Exhibit 3.16)
Year 8
CASH RECEIPTS
1. Collection from Credit Customers . . . . . . . . . . . . . . . . . . . . \$144,000
2. Cash Sales . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 63,000
3. Collection of Interest. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,000
Total Cash Receipts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . \$208,000
LESS CASH DISBURSEMENTS
4. Payment to Suppliers of Merchandise . . . . . . . . . . . . . . . . . \$114,000
5. Repayment on Mortgage. . . . . . . . . . . . . . . . . . . . . . . . . . . . 5,000
6. Payment of Interest. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 500
7. Prepayment to Suppliers of Miscellaneous Services . . . . . . 57,500
8. Payment of Property Taxes . . . . . . . . . . . . . . . . . . . . . . . . ... 1,200
9. Payment of Dividends. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2,000
Total Cash Disbursements . . . . . . . . . . . . . . . . . . . . . . . . . . . . . \$180,200
Increase in Cash Balance for Year 8 . . . . . . . . . . . . . . . . . . . . \$ 27,800
Prepare a combined statement of income andretained
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