Problem
Consider the following account starting balances and transactions involving these accounts.
Use T-accounts to record the starting balances and the offsetting entries for the transactions.
The starting balance of Accounts Receivable is $4,500
The starting balance of Cash is $9,700
The starting balance of Inventory is $3,800
• Receive payment of $12 owed by a customer
• Buy $15 worth of manufacturing supplies for cash
• Sell product for $35 in cash with historical cost of $35
What is the final amount in Cash?