At December 1, 2015, Cursive Company's Accounts Receivable Balance Was

question 112

Multiple Choice

At December 1, 2015, Cursive Company's accounts receivable balance was $1,800. During December, Cursive had revenues on account of $7,200 and collected accounts receivable of $6,000. At December 31, 2015, the accounts receivable balance is

• A) $600 debit.
• B) $3,000 debit.
• C) $600 credit.
• D) $3,000 credit.

---

Definitions:

Ending Inventory

The complete valuation of items that are up for sale at the end of a financial accounting period.

Beginning Inventory

The value of all the inventory held by a company at the start of an accounting period, before any purchases or sales are made.

Inventory Turnover

A measure of how many times a company's inventory is sold and replaced over a specific period, indicating efficiency in managing stock.

Inventory

The total amount of goods and materials a company has in stock, including raw materials, work-in-progress, and finished goods.