Sunday, 3 November 2019

This month, a company receives $5,000 from a regular customer, of which $3,000 is for products delivered

This month, a company receives $5,000 from a regular customer, of which $3,000 is for products delivered last month and $2,000 is for products that will be delivered next month. What is the net change in Accounts Receivable this month (assuming no other transactions affecting Accounts Receivable)?
Decrease of $5,000
Increase of $2,000
No change
Decrease of $3,000
Please explain.

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