Table 1-3 Ace Builders Had the Following Transactions in June: Earned $4,000

question 72

Multiple Choice

Table 1-3
Ace Builders had the following transactions in June: earned $4,000 "on account" that will be collected in cash next month; collected $3,000 from a customer that was owed from a previous month; incurred $500 of repair expense and paid cash to the repairman; paid $1,200 cash to a supplier that it owed from the previous month; paid out $800 in cash withdrawals to the owner.
-For Ace Builders, what is the combined effect on cash from the June transactions?

• A)Down $800
• B)Down $2,500
• C)Up $4,500
• D)Up $500

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