Question

The following are independent situations.

Sales = $610,000; Accounts receivable increased by $22,100.

Calculate cash receipts from sales.

Cash receipts from sales

$Enter cash receipts from sales in dollars

  

  

Cost of goods sold = $510,000; inventory decreased by $76,000; accounts payable decreased by $34,500.

Calculate cash payments for purchases.

Cash payments for purchases

$Enter cash payments for purchases in dollars

  

  

The income statement shows $12,000 in income taxes. The balance sheet shows an increase in taxes payable of $2,100.

Calculate the cash paid for income taxes.

Cash paid for income taxes

$Enter cash paid for income taxes in dollars

  

  

Operating expenses total $85,000; Depreciation expense = $39,500; Prepaid expenses increased by $18,000; Accrued wages decreased by $11,800.

Calculate cash payments for operating expenses.

Cash payments for operating expenses

Answer 1