The current assets and current liabilities sections of the balance sheet of Allessandro Scarlatti Company appear as follows. ALLESSANDRO SCARLATTI COMPANY BALANCE SHEET (PARTIAL) DECEMBER 31, 2014 Cash $ 48,750 Accounts payable nbsp; 66,060 Accounts

ALLESSANDRO SCARLATTI COMPANY
BALANCE SHEET (PARTIAL)
DECEMBER 31, 2014

Cash

$ 48,750

Accounts payable

nbsp; 66,060

Accounts receivable

$92,940

Notes payable

67,950

Less: Allowance for doubtful accounts

7,640

85,300

$134,010

Inventory

175,140

Prepaid expenses

9,220

$318,410

1.

January 2015 cash disbursements entered as of December 2014 included payments of accounts payable in the amount of $42,400, on which a cash discount of 2% was taken.

2.

The inventory included $30,300 of merchandise that had been received at December 31 but for which no purchase invoices had been received or entered. Of this amount, $12,700 had been received on consignment; the remainder was purchased f.o.b. destination, terms 2/10, n/30.

3.

Sales for the first four days in January 2015 in the amount of $30,680 were entered in the sales journal as of December 31, 2014. Of these, $23,260 were sales on account and the remainder were cash sales.

4.

Cash, not including cash sales, collected in January 2015 and entered as of December 31, 2014, totaled $37,422. Of this amount, $26,362 was received on account after cash discounts of 2% had been deducted; the remainder represented the proceeds of a bank loan.