The income statement of New Gold Mountain Services for the year ending 31 October 2021 showed...
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The income statement of New Gold Mountain Services for the year ending 31 October 2021 showed service revenue of $56,000. Sales made by the business is 80% received in cash and the remaining on account. The balance sheet as at 31 October 2020, showed accounts receivable of $12,700 and the 2021 balance sheet showed customers owed the business $14,500 from credit sales. Calculate the cash received from customers. The income statement of New Gold Mountain Services for the year ending 31 October 2021 showed service revenue of $56,000. Sales made by the business is 80% received in cash and the remaining on account. The balance sheet as at 31 October 2020, showed accounts receivable of $12,700 and the 2021 balance sheet showed customers owed the business $14,500 from credit sales. Calculate the cash received from customers.
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To calculate the cash received from customers we need to determine the portion of service revenue th... View the full answer
Related Book For
Horngrens Financial And Managerial Accounting The Financial Chapters
ISBN: 9780134486840
6th Edition
Authors: Tracie L. Miller Nobles, Brenda L. Mattison, Ella Mae Matsumura
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