Wireless Technologies reports sales of $50 million.Accounts receivable at the beginning and end of the year are $5 million and $7 million,respectively.What is the amount of cash received from customers?
A)$50 million.
B)$52 million.
C)$48 million.

Question

Quizplus · Accepted Answer

The cash received from customers is calculated as sales minus the increase in accounts receivable: $50 million - ($7 million - $5 million) = $48 million.

Wireless Technologies Reports Sales of $50 Million