Crossland Corporation reported sales on its income statement of $455,000. On the statement of cash flows, which used the direct method, sales adjusted to a cash basis were $485,000. Crossland Corporation reported the following account balances on its balance sheet for the year: Based on this information, the beginning balance in accounts receivable was:
A) $70,000
B) $60,000
C) $40,000
D) $30,000

Question

Crossland Corporation reported sales on its income statement of $455,000. On the statement of cash flows, which used the direct method, sales adjusted to a cash basis were $485,000. Crossland Corporation reported the following account balances on its balance sheet for the year:  Based on this information, the beginning balance in accounts receivable was:
A) $70,000 
B) $60,000 
C) $40,000 
D) $30,000

Quizplus · Accepted Answer

The Answer of Crossland Corporation reported sales on its income statement of $455,000. On the statement of cash flows, which used the direct method, sales adjusted to a cash basis were $485,000. Crossland Corporation reported the following account balances on its balance sheet for the year:  Based on this information, the beginning balance in accounts receivable was:
A) $70,000 
B) $60,000 
C) $40,000 
D) $30,000

Crossland Corporation Reported Sales on Its Income Statement of $455,000