Crane Inc.had a beginning balance in accounts receivable of $19,200.During the year,it had credit sales of $240,000.Crane received payments on account of $224,000.At the end of the year,accounts receivable has a:
A)debit balance of $35,200.
B)credit balance of $35,200.
C)debit balance of $3,200.
D)credit balance of $3,200.

Question

Quizplus · Accepted Answer

Ending A/R balance = Beginning A/R balance + Credit sales − Payments on account
= $19,200 + $240,000 − $224,000 = $35,200

Crane IncHad a Beginning Balance in Accounts Receivable of $19,200