Problem - During August 2017, Packer Manufacturing had the following cash receipts and disbursements:
Cash received from customers - $319,000
Cash received from selling equipment - 11,200
Cash paid for salaries - 47,000
Cash paid to suppliers for inventory purchases - 130,000
In addition, the following balance sheet account balances were sown on Packer's books:
|
|
July 31
|
August 31
|
|
Accounts receivable
|
$128,000
|
$135,000
|
|
Inventory
|
33,000
|
25,000
|
|
Accounts payable
|
21,000
|
25,000
|
|
Salaries payable
|
8,000
|
5,000
|
Assume all sales an purchase are on account.
Required -
1. Determine sales for August 2017.
2. Determine salary expense for August 2017.
3. Determine cost of goods sold for August 2017.