During the month of November, Cornish Company had cash receipts of $3,500 and paid out $1,000 for expenses. The November 30th cash balance was $4,300. What was thecash balance on November 1?
A)$2,800.
B)$5,800.
C)$4,300.
D)$1,800.
E)$7,300.

Question

Quizplus · Accepted Answer

The cash balance at the beginning of the month can be calculated by using the formula: 
Beginning balance + Cash receipts - Cash disbursements = Ending balance 
Plugging in the given values, we get: 
Beginning balance + $3,500 - $1,000 = $4,300 
Solving for the beginning balance, we get: 
Beginning balance = $4,300 - $3,500 + $1,000 = $1,800 
Therefore, the answer is D) $1,800.

During the Month of November, Cornish Company Had Cash Receipts