Business, 27.05.2020 23:11 ellycleland16

On March 31, 2015, Cars, Inc. owes Preston Devices, one of its suppliers, $25,000 for previous purchases. During April 2015, Preston sells Cars devices with a sales price of $10,000 and a cost to Preston of $8,000. During April, Cars pays Preston $12,000 against the amount owed to Preston. What is the effect of these April transactions on Preston's balance sheet?

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On March 31, 2015, Cars, Inc. owes Preston Devices, one of its suppliers, $25,000 for previous purch...

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