Question

At June 1, 2018, Coquehcot Industries had an accounts receivable balance of $12,000. During the month, the company performed credit services of $30,000 and collected accounts receivable of $22,000. What is the balance in accounts receivable at June 30, 2018?

Answer 1

At the end of the period, account receivable balance shall be $20,000

Step-by-step explanation:

Account receivable is an account to register credit sale. It is an asset account and is increased with a debit entry.

In this example, opening balance is $12,000.

Credit sale for the month $30,000

less collections received $22,000

Closing Balance : $20,000