g Corentine Co. had $152,000 of accounts payable on September 30 and $132,500 on October 31. Total purchases on account during October were $281,000. Determine how much cash was paid on accounts payable during October. On September 30, Valerian Co. had a $102,500 balance in Accounts Receivable. During October, the company collected $102,890 from its credit customers. The October 31 balance in Accounts Receivable was $89,000. Determine the amount of sales on account that occurred in October. During October, Alameda Company had $102,500 of cash receipts and $103,150 of cash disbursements. The October 31 Cash balance was $18,600. Determine how much cash the company had at the close of business on September 30.

Question

Business

Eddie Johnston

12 December, 05:16

g Corentine Co. had $152,000 of accounts payable on September 30 and $132,500 on October 31. Total purchases on account during October were $281,000. Determine how much cash was paid on accounts payable during October. On September 30, Valerian Co. had a $102,500 balance in Accounts Receivable. During October, the company collected $102,890 from its credit customers. The October 31 balance in Accounts Receivable was $89,000. Determine the amount of sales on account that occurred in October. During October, Alameda Company had $102,500 of cash receipts and $103,150 of cash disbursements. The October 31 Cash balance was $18,600. Determine how much cash the company had at the close of business on September 30.

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Answers (1)

Know the Answer?

Marcel Franklin · Answer 1

1. $300,500

2. $89,390

3. $19,250

Explanation:

1. The computation of the cash paid is shown below:

= Opening balance of accounts payable + purchase made - ending balance of accounts payable

= $152,000 + $281,000 - $132,500

= $300,500

2. The computation of the sales is shown below:

= Ending balance of accounts receivable + cash receipts - opening balance of accounts receivable

= $89,000 + $102,890 - $102,500

= $89,390

3. The computation of opening cash balance is shown below:

= Cash disbursements + ending cash balance - cash receipts

= $103,150 + $18,600 - $102,500

= $19,250