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Question 16.6: Cash Received from Customers—Direct Method Sales reported on...

Cash Received from Customers—Direct Method

Sales reported on the income statement were $350,000. The accounts receivable balance declined $8,000 over the year. Determine the amount of cash received from customers.

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Sales . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                          $350,000

Decrease in accounts receivable . . . . . . . . . . . . . . . . . . . . . .  . . . . . . . . . . . .                               \underline{8,000}

Cash received from customers . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .                             \underline{\$  358,000}

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