Reference no: EM132708865

At the beginning of the current year, Daedalus Company reported cash balance of 6,000,000. During the current year, the entity disclosed the following changes in certain accounts:

Accounts receivable 1,000,000 increase

Inventory 700,000 decrease

Accounts payable 1,500,000 decrease

Total sales and cost of goods sold were 25,000,000 and 15,000,000 respectively. All sales and purchases were made on credit. Various expense of 3,200,000 were paid in cash.

Problem 1: What is the total amount of collections from customers?

a. 25,000,000

b. 24,000,000

c. 23,000,000

d. 22,000,000

Problem 2: What is the total amount of payment to suppliers?

a. 14,800,000

b. 17,300,000

c. 15,800,000

d. 15,000,000

Problem 3: What amount was reported as cash balance on December 31, 2020?

a. 9,000,000

b. 13,000,000

c. 10,000,000

d. 11,000,000