T-account: Partial list of account balances at the end of the year:
$\begin{array}{lr}
\text { Cash } & \$ 28,000 \
\text { Accounts Receivable } & \text { Unknown } \
\text { Equipment } & 35,600 \
\text { Accounts Payable } & 5,900
\end{array}$ Which of the following is an accurate description of the economic events involving Accounts Receivable as documented in the T-account above?
A)Sales to customers on account exceeded the payments received from customers on account.
B)Payments received from customers on account exceeded the sales made to customers on account.
C)The company paid off its debt more than it incurred new debt.
D)The company incurred more debt than it paid off.

Question

T-account:  Partial list of account balances at the end of the year:
$\begin{array}{lr}
\text { Cash } & \$ 28,000 \
\text { Accounts Receivable } & \text { Unknown } \
\text { Equipment } & 35,600 \
\text { Accounts Payable } & 5,900
\end{array}$ Which of the following is an accurate description of the economic events involving Accounts Receivable as documented in the T-account above?
A)Sales to customers on account exceeded the payments received from customers on account. 
B)Payments received from customers on account exceeded the sales made to customers on account. 
C)The company paid off its debt more than it incurred new debt. 
D)The company incurred more debt than it paid off.

Quizplus · Accepted Answer

The Answer of T-account:  Partial list of account balances at the end of the year:
$\begin{array}{lr}
\text { Cash } & \$ 28,000 \
\text { Accounts Receivable } & \text { Unknown } \
\text { Equipment } & 35,600 \
\text { Accounts Payable } & 5,900
\end{array}$ Which of the following is an accurate description of the economic events involving Accounts Receivable as documented in the T-account above?
A)Sales to customers on account exceeded the payments received from customers on account. 
B)Payments received from customers on account exceeded the sales made to customers on account. 
C)The company paid off its debt more than it incurred new debt. 
D)The company incurred more debt than it paid off.

T-Account: Partial List of Account Balances at the End