Last year Simpson Company reported cost of goods sold of $105,000. Inventories decreased by $10,000 during the year, and accounts payable increased by $25,000. The company uses the direct method to determine the net cash flows from operating activities on the statement of cash flows. The cost of goods sold adjusted to a cash basis would be

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The Answer of Last year Simpson Company reported cost of goods sold of $105,000. Inventories decreased by $10,000 during the year, and accounts payable increased by $25,000. The company uses the direct method to determine the net cash flows from operating activities on the statement of cash flows. The cost of goods sold adjusted to a cash basis would be

Last Year Simpson Company Reported Cost of Goods Sold of $105,000