after examining the records of gamma inc. for the month of december, the following information is obtained…

after examining the records of gamma inc. for the month of december, the following information is obtained: beginning cash balance $3,300 cash receipts 56,000 cash payments 37,000 loan repayments 8,000 based on the given information, compute gammas ending cash balance for the month of december. a. $(10,800) b. $14,300 c. $(22,300) d. $8,000

after examining the records of gamma inc. for the month of december, the following information is obtained: beginning cash balance $3,300 cash receipts 56,000 cash payments 37,000 loan repayments 8,000 based on the given information, compute gammas ending cash balance for the month of december. a. $(10,800) b. $14,300 c. $(22,300) d. $8,000

Answer

Explanation:

Step1: Recall cash - balance formula

Ending cash balance = Beginning cash balance+Cash receipts - Cash payments - Loan repayments

Step2: Substitute values

Ending cash balance = $3300 + 56000-37000 - 8000$

Step3: Perform addition

$3300+56000=59300$

Step4: Perform subtraction

$59300-37000 - 8000=59300-(37000 + 8000)=59300 - 45000=14300$

Answer:

B. $14,300$