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Question
Use the information provided for Washington Company to answer the questions that follow.
The following selected account balances appear on the financial statements of Washington Company:
Accounts Receivable, January 1 $13,000
Accounts Receivable, December 31 9,000
Accounts Payable, January 1 4,000
Accounts Payable, December 31 7,000
Merchandise Inventory, January 1 10,000
Merchandise Inventory, December 31 15,000
Sales 56,000
Cost of Merchandise Sold 31,000
Washington Company uses the direct method to determine net cash flows from operating activities.
Cash paid for merchandise during the year is
a. $39,000
b. $33,000
c. $29,000
d. $23,000
Answer
This answer is hidden. It contains 1 characters.
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