Q 3.35: paulson oil account balances at january 31st include: cash $70,000, accounts receivable $100,000, common stock $120,000 and accounts payable $50,000. during the month of february, the company collected $25,000 of its account receivable and paid $10,000 of its accounts payable. what is paulson's cash balance on their february 28th trial balance?

Question

Business

Lana Navarro

25 December, 13:07

Q 3.35: paulson oil account balances at january 31st include: cash $70,000, accounts receivable $100,000, common stock $120,000 and accounts payable $50,000. during the month of february, the company collected $25,000 of its account receivable and paid $10,000 of its accounts payable. what is paulson's cash balance on their february 28th trial balance?

+2

Answers (1)

Know the Answer?

Salma Wiley · Answer 1

Cash Balance at the beginning of February:

70,000

Collected $25,000 of AR:

+25,000

Paid 10,000 owed

-10,000

Cash Balance at the end of February:

70,000 + 25,000 - 10,000 = 85,000