Newark Company Has Provided the Following Information: • Cash Sales,$450,000

question 127

Multiple Choice

Newark Company has provided the following information: • Cash sales,$450,000
• Credit sales,$1,350,000
• Selling and administrative expenses,$330,000
• Sales returns and allowances,$90,000
• Gross profit,$1,360,000
• Increase in accounts receivable,$55,000
• Bad debt expense,$33,000
• Sales discounts,$43,000
• Net income,$1,030,000
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How much cash was collected from customers?

• A)Cash flow increased $1,295,000.
• B)Cash flow increased $1,745,000.
• C)Cash flow decreased $1,855,000.
• D)Cash flow increased $1,405,000.

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Definitions:

Vitamin K

A fat-soluble vitamin important for blood clotting and bone health.

Beriberi

A disease caused by a vitamin B1 (thiamine) deficiency, leading to weakness, nerve damage, and heart failure.

Vitamin

Organic substance that is essential for normal body growth and maintenance and resistance to infection.

Closing Entries

At the close of an accounting period, recordings are made to move balances from temporary accounts to those that are permanent.