In 2022, Grider Corporation had cash receipts of $35,000, including additional owner investments of $10,000, and cash disbursements of $20,000.Grider purchased equipment of $12,000 on account.Grider's cash balance at December 31, 2022 was $65,000.What was Grider's January 1, 2022 cash balance?
A)$50,000
B)$60,000
C)$85,000
D)$80,000

Question

Quizplus · Accepted Answer

The cash balance at the end of the year is calculated as the beginning balance plus cash receipts minus cash disbursements. Let X be the January 1, 2022 cash balance: X + $35,000 - $20,000 = $65,000. Solving for X gives X = $50,000.

In 2022, Grider Corporation Had Cash Receipts of $35,000, Including