Alco Roofing Company's beginning accounts receivable were $200,000 and ending accounts receivable were $270,000. During the period, credit sales totaled $570,000. How much cash was collected from customers?

Question

Quizplus · Accepted Answer

To find out cash collected from customers we need to use the formula:
Cash collected from customers = Beginning Accounts Receivable + Credit Sales - Ending Accounts Receivable
= $200,000 + $570,000 - $270,000
= $500,000

Alco Roofing Company's Beginning Accounts Receivable Were $200,000 and Ending