What is the total reported value of accounts receivable for Extreme Art Studio?
Extreme_Art_Studio Franchise · 2024 FDDAnswer from 2024 FDD Document
| Total | ||
|---|---|---|
| ASSETS | , | |
| Current Assets | ||
| Bank Accounts | ||
| 1008 Wells Fargo Extreme Art 3537Checking | 15,001.21 | |
| Total Bank Accounts | $ | 15,001.21 |
| Accounts Receivable | ||
| 1100 Accounts Re |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 49)
What This Means (2024 FDD)
According to Extreme Art Studio's 2024 Franchise Disclosure Document, the total value of accounts receivable is $0.00 as of December 31, 2023. Accounts receivable represents the money owed to Extreme Art Studio by its customers or franchisees for goods or services that have been delivered or used but not yet paid for.
A zero balance in accounts receivable could indicate that Extreme Art Studio collects payments promptly or operates primarily on a cash basis. It could also mean that the company has not yet begun operations that would generate accounts receivable.
For a prospective franchisee, this information provides a snapshot of the company's financial health and its ability to manage its incoming revenue. It is important to consider this figure in conjunction with other financial metrics to gain a comprehensive understanding of Extreme Art Studio's financial performance and stability.