The accounting records for the Fox Hollow Company show that its cost of goods sold for the year was $300,000.In addition,it had an increase in inventory of $5,000 and a decrease in accounts payable of $6,000.As a result under the direct method,the amount of cash paid to suppliers for the year was:
A)$301,000.
B)$305,000.
C)$306,000.
D)$311,000.

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The Answer of The accounting records for the Fox Hollow Company show that its cost of goods sold for the year was $300,000.In addition,it had an increase in inventory of $5,000 and a decrease in accounts payable of $6,000.As a result under the direct method,the amount of cash paid to suppliers for the year was:
A)$301,000.
B)$305,000.
C)$306,000.
D)$311,000.

The Accounting Records for the Fox Hollow Company Show That