a. Sales = $804,420; Accounts receivable increased by $49,700. Calculate cash receipts from sales.
b. Cost of sales = $1,520,000; inventory decreased by $78,000; accounts payable decreased by $28,500. Calculate cash payments for purchases.
c. The income statement shows $12,500 in income taxes. The statement of financial position shows an increase in taxes payable of $2,525. Calculate the cash paid for income taxes.

d. Operating expenses total $104,750; Depreciation expense = $37,200; Prepaid expenses increased by $17,400; Accrued wages decreased by $5,600. Calculate cash payments for operating expenses.

Question

a. Sales = $804,420; Accounts receivable increased by $49,700. Calculate cash receipts from sales.
b. Cost of sales = $1,520,000; inventory decreased by $78,000; accounts payable decreased by $28,500. Calculate cash payments for purchases.
c. The income statement shows $12,500 in income taxes. The statement of financial position shows an increase in taxes payable of $2,525. Calculate the cash paid for income taxes.
 
d. Operating expenses total $104,750; Depreciation expense = $37,200; Prepaid expenses increased by $17,400; Accrued wages decreased by $5,600. Calculate cash payments for operating expenses.

Quizplus · Accepted Answer

The Answer of a. Sales = $804,420; Accounts receivable increased by $49,700. Calculate cash receipts from sales.
b. Cost of sales = $1,520,000; inventory decreased by $78,000; accounts payable decreased by $28,500. Calculate cash payments for purchases.
c. The income statement shows $12,500 in income taxes. The statement of financial position shows an increase in taxes payable of $2,525. Calculate the cash paid for income taxes.
 
d. Operating expenses total $104,750; Depreciation expense = $37,200; Prepaid expenses increased by $17,400; Accrued wages decreased by $5,600. Calculate cash payments for operating expenses.

A Sales = $804,420; Accounts Receivable Increased by $49,700