CFA Practice Question

There are 534 practice questions for this study session.

CFA Practice Question

Beginning accounts receivable $ 50,000
Ending accounts receivable: $ 30,000
Net sales: $600,000
Cost of goods sold: $375,000
Operating expenses: $80,000

What was the amount of cash received from customers?
A. $620,000
B. $580,000
C. $630,000
Explanation: Cash received from customers = Net sales + Decrease in Accounts Receivable or - Increase in Accounts Receivable. $600,000 + ($50,000 - $30,000) = $620,000

User Contributed Comments 1

User Comment
aigulb 50 relates to PY sales from which 20 was received during current year, so it should be added to CY sales
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