ANSWERS TO QUESTIONS

Cash in bank—savings account $63,000 Cash on hand 9,300 Checking account balance 17,000 Cash to be reported $89,300 BRIEF EXERCISE 7-2. June 1 Accounts Receivable 40,000 Sales 40,000 June 12 Cash 38,800* Sales Discounts 1,200 Accounts Receivable 40,000 *$40,000 – ($40,000 X .03) = $38,800 ................
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