Pacific Whale Corporation reported the following information for 2011 and 2012: How much cash was received from customers during 2012?

Question

Pacific Whale Corporation reported the following information for 2011 and 2012:  How much cash was received from customers during 2012?

Quizplus · Accepted Answer

Cash received from customers is calculated by subtracting ending accounts receivable from beginning accounts receivable and adding the change in revenue. Therefore, the calculation for Pacific Whale Corporation would be: 
Beginning accounts receivable (2012) = $54,000 
Ending accounts receivable (2012) = $37,000 
Change in revenue (2012) = $842,000 - $537,000 = $305,000

Cash received from customers (2012) = $54,000 - $37,000 + $305,000 = $859,000

Pacific Whale Corporation Reported the Following Information for 2011 and 2012