14. Selected data for the current year ended December 31 are as follows: Accrued expenses (operating expenses) Accounts payable (merchandise creditors) Inventories Prepaid expenses Balance December 31 $29,500 90,000 42,500 23,000 Balance January 1 $ 22,000 135,000 68,000 20,000 During the current year, the cost of merchandise sold was $620,000 and the operating expense other than depreciation were $142,000. The direct method is used for presenting the cash flows from operating activities on the statement of cash flows. Determine the amount reported on the statement of cash flows for (a) cash payments for merchandise and (b) cash payments for operating expenses.

14. Selected data for the current year ended December 31 are as follows: Accrued expenses (operating expenses) Accounts payable (merchandise creditors) Inventories Prepaid expenses Balance December 31 $29,500 90,000 42,500 23,000 Balance January 1 $ 22,000 135,000 68,000 20,000 During the current year, the cost of merchandise sold was $620,000 and the operating expense other than depreciation were $142,000. The direct method is used for presenting the cash flows from operating activities on the statement of cash flows. Determine the amount reported on the statement of cash flows for (a) cash payments for merchandise and (b) cash payments for operating expenses.

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Description: Please do not give solution in image format thanku 14. Selected data for the current year ended December 31 are as follows:Accrued expenses (operating expenses)Accounts payable (merchandise creditors)InventoriesPrepaid expensesBalanceDecember 31$29,5

Financial And Managerial Accounting

15th Edition

ISBN:9781337902663

Author:WARREN, Carl S.

Publisher:WARREN, Carl S.

Chapter5: Accounting For Retail Businesses

Section: Chapter Questions

Problem 41E: Cost of goods sold and related items The following data were extracted from the accounting records...

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