Question

The ending balance of the accounts receivable account was Rs 12,000. Services billed to customers for the period were Rs 21,500 and collection on account from customers was Rs 23,600. The beginning balance of accounts receivable was __________ .

• A. Rs 33,500
• B. Rs 14,100
• C. Rs 9,800
• D. Rs 33,300

Answer 1

Answer: (B)

Rs 14,100

Closing balance = Opening balance + services billed - collections

12,000 = opening balance + 21,500 - 23,600

12,000 + 23,600 - 21,500 = Opening balance

Opening balance = RS-14,100.