On April 1st,Morning Coffee had a beginning cash balance of $318.Sales for March were $460 and April sales were $510.During April the firm had cash expenses of $327 and payments on accounts payable of $262.The accounts receivable period is 30 days.What is the firm's beginning cash balance on May 1st?

Question

Quizplus · Accepted Answer

The beginning cash balance on May 1st is calculated by taking the beginning balance on April 1st ($318), adding April sales collected in May ($510), and subtracting April expenses ($327) and payments on accounts payable ($262). This results in a balance of $239.

On April 1st,Morning Coffee Had a Beginning Cash Balance of $318.Sales