If accounts receivable on January 1 totals $20,000, and during the current year sales revenue is $112,000, and cash receipts from customers is $98,000, then what is the balance in Accounts Receivable on December 31?

Question

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The balance in Accounts Receivable on December 31 can be calculated by starting with the beginning balance, adding sales revenue (assuming all on credit), and then subtracting cash receipts from customers. So, $20,000 (beginning balance) + $112,000 (sales on credit) - $98,000 (cash receipts) = $34,000.

If Accounts Receivable on January 1 Totals $20,000, and During