Erie Company reports the following comparative balance sheets and income statement information for the current year. Comparative Balance Sheets 12/31/201512/31/2016Assets Cash $90,000? $ 50,000 Accounts receivable 34,000? 18,000? Prepaid insurance 34,000? 42,000? Inventory 10,000? 26,000? Property, plant & equipment 42,000? 50,000? Total Assets $ 210,000 $186,000? Liabilities and Stockholder's Equity Accounts payable $ 50,000 $34,000? Salaries payable 18,000? 42,000? Long-term notes payable 26,000? 34,000? Common stock 22,000? 22,000? Retained earnings 94,000? 54,000? Total Liabilities and Stockholders'
Equity $ 210,000 $186,000? 2016 Income StatementRevenue$290,000? Cost of goods sold (162,000)? Gross margin 128,000? Operating expenses (82,000)? Net income$46,000? Assuming accounts payable is used for inventory purchases only, what was the amount of cash paid for inventory purchases during the year?
A. $34,000
B. $194,000
C. $162,000
D. $178,000
Answer: B
You might also like to view...
Answer the following statements true (T) or false (F)
1. American cultural imperialism is a viewpoint adopted by anti-globalists, not globalists. 2. Anti-globalists oppose globalization because of its focus on greed. 3. Globalists favour the transfer of capital and technology. 4. Amnesty International and Corporate Watch view corporate human rights violations as part of their mission. 5. INGOs are an element of civil society.
Lower costs in the form of cheaper labor or raw materials, foreign government investment incentives, freight savings, and the opportunity to improve the company image are the factors that would most likely lead a company to enter a foreign market
using the market entry strategy of ________. A) direct exporting B) licensing C) management contracting D) indirect exporting E) direct investment
Firms must expense when incurred the transactions cost of acquiring a firm in a business combination under both U.S. GAAP and IFRS
Indicate whether the statement is true or false
Mass customization is:
a. serving the mass market with standard products b. serving the mass market with products tailored to individuals c. serving different segments with the same product d. serving different segments with different products e. none of the above