Carlton Company reported on its income statement sales for the year just ended of $435,000.Sales during the year adjusted to the cash basis on its statement of cash flows constructed using the direct method were $460,000.Carlton Company recorded the following account balances: Based on this information,the balance in Accounts Receivable at the beginning of the year was:
A)$60,000
B)$63,000
C)$59,000
D)$10,000

Question

Carlton Company reported on its income statement sales for the year just ended of $435,000.Sales during the year adjusted to the cash basis on its statement of cash flows constructed using the direct method were $460,000.Carlton Company recorded the following account balances:  Based on this information,the balance in Accounts Receivable at the beginning of the year was:
A)$60,000 
B)$63,000 
C)$59,000 
D)$10,000

Quizplus · Accepted Answer

The Answer is A

Carlton Company Reported on Its Income Statement Sales for the Year