Crossland Corporation reported sales on its income statement of $435,000. On the statement of cash flows, which used the direct method, sales adjusted to a cash basis were $455,000. Crossland Corporation reported the following account balances on its balance sheet for the year: Based on this information, the beginning balance in accounts receivable was:
A)$50,000
B)$40,000
C)$30,000
D)$20,000

Question

Crossland Corporation reported sales on its income statement of $435,000. On the statement of cash flows, which used the direct method, sales adjusted to a cash basis were $455,000. Crossland Corporation reported the following account balances on its balance sheet for the year:  Based on this information, the beginning balance in accounts receivable was:
A)$50,000 
B)$40,000 
C)$30,000 
D)$20,000

Quizplus · Accepted Answer

The Answer of Crossland Corporation reported sales on its income statement of $435,000. On the statement of cash flows, which used the direct method, sales adjusted to a cash basis were $455,000. Crossland Corporation reported the following account balances on its balance sheet for the year:  Based on this information, the beginning balance in accounts receivable was:
A)$50,000 
B)$40,000 
C)$30,000 
D)$20,000

Crossland Corporation Reported Sales on Its Income Statement of $435,000