Berlin & Snider Enterprise's Inventory account decreased $29,700 and its' Accounts Payable account which relates solely to the purchase of merchandise)decreased $11,550 during the year. Berlin & Snider also reported sales of $757,000 and cost of goods sold of $503,400 during the same period. Berlin & Snider's payments to suppliers for inventory during the year were:

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The decrease in Inventory account is $29,700 and the decrease in Accounts Payable account is $11,550. This means that Berlin & Snider paid $29,700 + $11,550 = $41,250 more to suppliers than they purchased on account. Therefore, the payments to suppliers for inventory during the year were $503,400 (cost of goods sold) + $41,250 = $544,650.

Berlin & Snider Enterprise's Inventory Account Decreased $29,700 and Its