The total cash collected by LaGrange Company during January would be:

Question

Quizplus · Accepted Answer

The total cash collected during January would be the sum of cash sales and collections from accounts receivable. Cash sales for January are $75,000 + $60,000 = $135,000. The collections from accounts receivable can be calculated by adding up the beginning balance of accounts receivable, which is $210,000, and subtracting the ending balance of accounts receivable, which is $14,500. This gives us $195,500 in collections from accounts receivable. Therefore, the total cash collected by LaGrange Company during January would be $135,000 + $195,500 = $330,500, which is closest to option B ($331,500).

The Total Cash Collected by LaGrange Company During January Would