On November 30, Brisbane Company had Accounts Receivable of $390,840. During the month of December, the company received total payments of $480,000 from credit customers. The Accounts Receivable on December 31 was $258,960.
What was the amount of credit sales during December?
A) $ 191,520
B) $1,120,080
C) $ 348,120
D) $ 590,160

Question

Quizplus · Accepted Answer

Beginning A/R balance + Sales on account - Cash receipts = Ending A/R balance
$390,840 + X - $480,000 = $258,960
X = $258,960 - $390,840 + $480,000
X = $348,120

On November 30, Brisbane Company Had Accounts Receivable of $390,840