What is the amount of cash paid for the purchase

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Problem 1: If cost of sales is $500 000, inventory has increased by $8000 and creditors have decreased by $15 000 what is the amount of cash paid for the purchase of goods for resale?

a. $500 000
b. $507 000
c. $523 000
d. $493 000

Problem 2: From the following information, determine the amount of cash received from customers during 2014.

Accounts receivable (31-Dec-2013) $63 000
Accounts receivable (31-Dec-2014) 54 000
Sales 270 000

a. $171 000
b. $189 000
c. $261 000
d. $279 000

Problem 3: Buffy Inc supplied the following information for 2014.

Beginning inventory $ 90 000
Ending inventory 120 000
Cost of sales 270 000
Determine credit purchases for the year.

a. $300 000
b. $270 000
c. $330 000
d. $420 000

Problem 4: If wages expense is $350 000, wages accrued at the beginning of the period are $3600 and wages accrued at the end of the period are $5600 what amount for wages paid will appear in the statement of cash flows?

a. $350 000
b. $359 200
c. $348 000
d. $352 000

Reference no: EM132533120

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