On March 3,Cobra Inc.purchased a desk for $450 on account.On March 22,Cobra purchased another desk for $500 also on account,and then on March 24,Cobra paid $400 on account.At the end of March,what amount should Cobra report for desks (assuming these two desks were the only desks they had)?

Question

Quizplus · Accepted Answer

Cobra purchased two desks on account, one for $450 and another for $500, for a total of $950. They then paid $400 on account, leaving a balance of $550 ($950 - $400). Therefore, the amount Cobra should report for desks at the end of March is $550.