Given the Following Transactions,what Is the Ending Balance in the Cash

question 120

Multiple Choice

Given the following transactions,what is the ending balance in the Cash account? 1.The owner started the company by investing $6,000 cash.
2) The company paid $1,200 for 6 months' rent in advance.
3) The company acquired $2,400 in merchandise inventory with one-half of the purchase on account.
4) The company sold merchandise inventory costing $1,500 for $3,100 on account.

• A)$3,600 debit balance
• B)$3,600 credit balance
• C)$5,100 credit balance
• D)$4,800 debit balance
• E)$4,800 credit balance

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Definitions:

Consumption Rate

The speed at which goods and services are consumed or used up, often reflecting the economic activity level.

Predictions

Future estimations or anticipations based on current trends or data analysis.

Proved Reserves

Located quantities of natural resources, such as oil or gas, that can be recovered in the future with high certainty under existing economic and operational conditions.

Natural Resources

Raw materials and environmental attributes derived from nature that are used in the production of goods and services.