Question

Company ABC sells football equipment. On November 14, they shipped $6,000 worth of uniforms to Customer A, terms 2/10, n/30. On November 21, they received an order from Customer B for $3,600 worth of custom printed equipment to be produced in December. On November 30, Customer A return $600 of defective merchandise. Company ABC has received no payments from either school as of month end. What amount will be recognized as accounts receivable, net on the balance sheet as of November 30

Answer 1

Answer:

$5,400

Explanation:

Calculation to determine What amount will be recognized as accounts receivable, net on the balance sheet as of November 30

Using this formula

Account receivable=Cost of Shipped uniforms to Customer A -Defective merchandise Return

Let plug in the formula

Account receivable=$6,000 − $600

Account receivable= $5,400

Therefore The amount that will be recognized as accounts receivable, net on the balance sheet as of November 30 is $5,400