75. King Company began the current year with accounts receivable of P1,000,000 and allowance for doubtful accounts of P80,000. During the current year, the following events occurred: Accounts written off 120,000 Cash Sale 500,000 Sales on account 3,000,000 200,000 Doubtful account expense recognized At the end of the current year, the entity showed a balance in accounts receivable of P1,680,000. Under cash basis, what amount should be reported as sales? a. 2,700,000 b. 2,200,000 c. 3,500,000 d. 3,320,000

75. King Company began the current year with accounts receivable of P1,000,000 and allowance for doubtful accounts of P80,000. During the current year, the following events occurred: Accounts written off 120,000 Cash Sale 500,000 Sales on account 3,000,000 200,000 Doubtful account expense recognized At the end of the current year, the entity showed a balance in accounts receivable of P1,680,000. Under cash basis, what amount should be reported as sales? a. 2,700,000 b. 2,200,000 c. 3,500,000 d. 3,320,000

Name: 75. King Company began the current year with accounts receivable of P
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Description: 75. King Company began the current year with accounts receivable of P1,000,000 and allowance fordoubtful accounts of P80,000.During the current year, the following events occurred:120,000Accounts written offCash Sale500,000Sales on account3,000,0002

Managerial Accounting

15th Edition

ISBN:9781337912020

Author:Carl Warren, Ph.d. Cma William B. Tayler

Publisher:Carl Warren, Ph.d. Cma William B. Tayler

Chapter16: Financial Statement Analysis

Section: Chapter Questions

Problem 4BE

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