During the accounting period, sales revenue is Rs. 25,000 and accounts receivable increases by Rs. 8,000. What will be the amount of cash received from customers for the period?
Correct answer: C. Rs. 17,000
- A. Rs. 33,000
- B. Rs. 25,000
- C. Rs. 17,000
- D. Rs. 8,000
Explanation
Cash received equals sales revenue minus the increase in accounts receivable: Rs. 25,000 − Rs. 8,000 = Rs. 17,000. The increase means part of the recorded sales has not yet been collected.
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