00:01
So this question is asking about accounts receivable.
00:04
And so let's write what information we have first.
00:08
So beginning accounts receivable was 380.
00:19
And then we're told that during the period, they sold $1 ,400 of goods on account.
00:29
So that means the people bought their product but paid on credit.
00:33
And so they didn't actually get cash at the time.
00:35
So that's an addition of $1 ,400 to the accounts receivable account.
00:41
And then we're told that the ending balance was 630.
00:49
So we're trying to figure out what this number is.
00:53
And this number is going to be negative.
00:56
So we're just going to put an x here.
00:59
And it is what amount was collected.
01:02
So if something goes into accounts receivable, it means, for example, a product was purchased...