Answer:
The correct answer is:
$54,400 (B)
Explanation:
In order to calculate the ending balance, we have to group the entries into income and expenditure, and compute the difference between them. However please note that the question asked us to calculate for the cash balance, hence the entry titled<em> 'budget depreciation expense' will not be used for the calculation, because it is not a cash transaction.</em>
particulars income($) expenditure($)
Beginning cash balance 94,300 -
cash receipt from sales 414,500 -
purchase disbursement - 269,500
salaries disbursement 95,300
other cash expenses 57,300
cash loan repayment 32,300
Total 508,800 454,400
Balance = Total income - Total expenditure
508,800 - 454,400 = $54,400
