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In its first month in business, Jones, Inc. sold merchandise to customers on acc

ID: 2504586 • Letter: I

Question

In its first month in business, Jones, Inc. sold merchandise to customers on account for $119,800. It collected $72,000 on those sales during the first month and recorded Revenue for the period of $119,800. Cost of goods sold expense was $60,000, and other expenses, including taxes, were $30,000. Which one of the following statements is correct? Question 7 options: Net income (loss) for the first month was ($18,000), and ending balance of accounts receivable was $47,800. Net income for the first month was $29,800, and ending balance of accounts receivable was $47,800. Net income for the first month was $29,800, and cash collected from customers was $29,800. Net income for the first month was $29,800, and ending balance of accounts receivable was $119,800. In its first month in business, Jones, Inc. sold merchandise to customers on account for $119,800. It collected $72,000 on those sales during the first month and recorded Revenue for the period of $119,800. Cost of goods sold expense was $60,000, and other expenses, including taxes, were $30,000. Which one of the following statements is correct? In its first month in business, Jones, Inc. sold merchandise to customers on account for $119,800. It collected $72,000 on those sales during the first month and recorded Revenue for the period of $119,800. Cost of goods sold expense was $60,000, and other expenses, including taxes, were $30,000. Which one of the following statements is correct? Net income (loss) for the first month was ($18,000), and ending balance of accounts receivable was $47,800. Net income for the first month was $29,800, and ending balance of accounts receivable was $47,800. Net income for the first month was $29,800, and cash collected from customers was $29,800. Net income for the first month was $29,800, and ending balance of accounts receivable was $119,800. Net income (loss) for the first month was ($18,000), and ending balance of accounts receivable was $47,800. Net income for the first month was $29,800, and ending balance of accounts receivable was $47,800. Net income for the first month was $29,800, and cash collected from customers was $29,800. Net income for the first month was $29,800, and ending balance of accounts receivable was $119,800. Net income (loss) for the first month was ($18,000), and ending balance of accounts receivable was $47,800. Net income for the first month was $29,800, and ending balance of accounts receivable was $47,800. Net income for the first month was $29,800, and cash collected from customers was $29,800. Net income for the first month was $29,800, and ending balance of accounts receivable was $119,800.

Explanation / Answer

Net income for the first month was $29,800, and ending balance of accounts receivable was $47,800.