Diversified Semiconductors sells perishable electronic components. Some must be shipped and stored in reusable protective containers. Customers pay a deposit for each container received. The deposit is equal to the container's cost. They receive a refund when the container is returned. During 2018, deposits collected on containers shipped were $850,000. Deposits are forfeited if containers are not returned within 18 months. Containers held by customers at January 1, 2018 and December 31, 2018, represented deposits of $530,000 and $550,000, respectively. In 2018, $790,000 deposits were refunded. The amount of deposits forfeited in 2018 is $40,000 SO. $80,000 $20,000 Previous Next