Aaron Inc.reported operating expenses during 2011 of $765,000 (including $80,000 of depreciation expense).Prepaid expenses increased $25,000 while accrued liabilities increased $43,000.How much cash was paid for operating expenses during 2011?
A)$702,000
B)$622,000
C)$667,000
D)$703,000

Question

Quizplus · Accepted Answer

Cash paid for operating expenses ($667,000) = Operating expenses ($765,000) - Depreciation expense ($80,000) + Prepaid expense increase ($25,000) - Accrued liability increase ($43,000)

Aaron Increported Operating Expenses During 2011 of $765,000 (Including $80,000 of of Depreciation