Hong Kong Clothiers reported revenue of $5,000,000 for its year ended December 31, 2018. Accounts receivable at December 31, 2017 and 2018, were $320,000 and $355,000, respectively. Using the direct method for reporting cash flows from operating activities, Hong Kong Clothiers would report cash collected from customers of:

From the question, we are informed that Hong Kong Clothiers reported revenue of $5,000,000 for its year ended December 31, 2018 and that the accounts receivable at December 31, 2017 and 2018, were $320,000 and $355,000, respectively.

From the above analysis HongKong Clothiers would report cash collected from customers of:

= $5,000,000 + $320,000 - 355,000

= $4,965,000