Question

Eastwood Enterprises offers horseback riding lessons. During the month of June, the company provides lessons on account totaling $4,900. By the end of the month, the company received on account $4,300 of this amount. In addition, Eastwood received $480 on account from customers who were provided lessons in May.

Determine the amount of operating cash flows Eastwood will report as received from customers in June.

Answer 1

$4,780

Step-by-step explanation:

The computation of the amount of operating cash flow that received from customers in June is shown below:

= Received the amount with respect to his account + received an amount from customers who were provided lessons in May

= $4,300 + $480

= $4,780

The amount of providing lessons is irrelevant. Hence, ignored it