Cargo Industries began the month with a $10,000 debit balance in the Cash account. During the month, the total of the debit entries to the Cash account amounted to $4,000 and the total of the credit entries to the Cash account amounted to $4,800. The Cash account has aA$800 credit balance. B$10,800 debit balance. C$9,200 debit balance. D$14,800 debit balance.

Question

Business

Mohamed Kirk

24 November, 18:37

Cargo Industries began the month with a $10,000 debit balance in the Cash account. During the month, the total of the debit entries to the Cash account amounted to $4,000 and the total of the credit entries to the Cash account amounted to $4,800. The Cash account has aA$800 credit balance. B$10,800 debit balance. C$9,200 debit balance. D$14,800 debit balance.

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Answers (1)

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Fattykins · Answer 1

B$10,800 debit balance.

Explanation:

In the given question, first we have to compute the difference of cash account which equals to

= Total debit entries - Total credit entries

= $4,800 - $4,000

= $800 debit

Now add this amount to the beginning balance which equals to

= Beginning amount of cash balance + Difference amount

= $10,000 + $800

= $10,800 debit