Cash Received from Customers—Direct Method

Sales reported on the income statement were $225,000. The accounts receivable balance decreased $14,300 over the year.

Determine the amount of cash received from customers.

Respuesta :

Based on the sales figure and the change in the accounts receivable balance, the amount of cash received from customers was $14,300.

What was the amount of cash received?

The accounts receivable balance refers to the amount that customers owe to the company.

This means that if the accounts receivable balance decreases by the certain amount, it would be because that amount was paid by the customers who owe the business.

The cash paid is therefore the amount of $14,300 which the balance reduced by.

Find out more on accounts receivables at https://brainly.com/question/24848903.