Reference no: EM132646504
Question - Below is the data provided by a company regarding its receipts and disbursements.
|
|
December 31
|
January 1
|
|
Accounts Receivable
|
225,000
|
215,000
|
|
Notes Receivable
|
100,000
|
120,000
|
|
Accounts Payable
|
130,000
|
110,000
|
|
Notes Payable
|
180,000
|
270,000
|
|
Prepaid Insurance
|
40,000
|
25,000
|
Cash Sales 480,000
Collections of A/R net of 40,000 discounts 1,500,000
Collections of Notes Receivable 90,000
Bank Loan - 1 year dated Dec. 31 90,000
Purchase Returns and Allowances 50,000
Cash Purchases 130,000
Payments of A/P net of 15,000 discounts 1,400,000
Payments of Notes Payable 300,000
Insurance 200,000
Other Expenses 620,000
Sales Returns and Allowances 55,000
REQUIRED - Compute the GROSS SALES under the accrual basis of accounting?