The general ledger of Lopez Company provides the following information:

$\begin{array}{lrr}&\text { End of Year }&\text { Beginning of Year }\
\text { Accounts Receivable } & \$ 55,000 & \$ 94,000 \
\text { Inventory } & 310,000 & 210,000 \
\text { Accounts Payable } & 40,000 & 65,000
\end{array}$ The company's net sales for the year was $2,400,000 and cost of goods sold amounted to $1,600,000.
Instructions
Compute the following:
(a) Cash receipts from customers.
(b) Cash payments to suppliers.

Question

The general ledger of Lopez Company provides the following information:

$\begin{array}{lrr}&\text { End of Year }&\text { Beginning of Year }\
\text { Accounts Receivable } & \$ 55,000 & \$ 94,000 \
\text { Inventory } & 310,000 & 210,000 \
\text { Accounts Payable } & 40,000 & 65,000
\end{array}$ The company's net sales for the year was $2,400,000 and cost of goods sold amounted to $1,600,000.
Instructions
Compute the following:
(a) Cash receipts from customers.
(b) Cash payments to suppliers.

Quizplus · Accepted Answer

The Answer of The general ledger of Lopez Company provides the following information:

$\begin{array}{lrr}&\text { End of Year }&\text { Beginning of Year }\
\text { Accounts Receivable } & \$ 55,000 & \$ 94,000 \
\text { Inventory } & 310,000 & 210,000 \
\text { Accounts Payable } & 40,000 & 65,000
\end{array}$ The company's net sales for the year was $2,400,000 and cost of goods sold amounted to $1,600,000.
Instructions
Compute the following:
(a) Cash receipts from customers.
(b) Cash payments to suppliers.

The General Ledger of Lopez Company Provides the Following Information