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Profit and cash flow from sale

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Reference no: EM131068154

A firm has just ended its calendar year making a sale in the amount of $150,000 of merchandise purchased during the year at a cost of $112,500. Although the firm paid in full for the merchandise during the year, it has yet to collect at year end from the customer. The net profit and cash flow from this sale are:

a. $0 and $150,000 respectively

b. $37,500 and ($150,000)

c. $37,500 and ($112,500)

d. $150,000 and $112,500

Reference no: EM131068154

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