26) New Street Corporation had accounts receivable of $110,000 at the beginning of the year and $125,000 at the end of the year. Sales on account for the year amounted to $575,000. The amount to be reported on the statement of cash flows under the operating activities is:
A) $575,000.
B) $15,000.
C) $560,000.
D) $465,000.
27) Plymouth Corporation reported an increase in inventory of $75,000. The cost of goods sold for the year was $180,000. There was also a $7,000 decrease in accounts payable from the beginning of the year to the end of the year. What were Plymouth's cash payments to suppliers?
A) $262,000
B) $248,000
C) $255,000
D) $187,000
28) Plymouth Corporation reported a decrease in inventory of $15,000. The cost of goods sold for the year was $180,000. There was also a $5,000 decrease in accounts payable from the beginning of the year to the end of the year. What were Plymouth's cash payments to suppliers?
A) $202,000
B) $188,000
C) $172,000
D) $158,000
29) Outlaw, Inc. began the year with $279,000 in Accounts Receivable and ended the year with $232,700 in Accounts Receivable. Sales for the year were $3,870,000. The cash collected from customers during the year amounted to:
A) $4,149,000.
B) $4,102,700.
C) $3,916,300.
D) $3,823,700.
30) XYZ Corporation reported a $35,000 increase in inventory and a $7,000 decrease in accounts payable during the year. XYZ's cost of goods sold amounted to $185,000. Under the direct method of reporting cash flows from operating activities, cash payments to suppliers amounted to:
A) $227,000.
B) $213,000.
C) $157,000.
D) $143,000.
31) Salem Corporations income statement showed cost of goods sold of $115,000 and operating expenses of $20,000. The inventory account decreased $7,000, accounts payable increased $5,000, prepaid expenses increased $3,000, and accrued expenses payable decreased $2,000.
Calculate the following using the direct method:
1.Cash payments for operating expenses
