The accounts payable balance at the beginning of the year was $85,000.The company purchased $380,000 worth of goods on account,and the ending balance of the payables account was $70,000. What were the total payments on account?
A) $450,000
B) $395,000
C) $535,000
D) $465,000

Question

Quizplus · Accepted Answer

The total payments on account can be calculated by adding the beginning accounts payable balance to the purchases made on account and then subtracting the ending accounts payable balance: $85,000 + $380,000 - $70,000 = $395,000.

The Accounts Payable Balance at the Beginning of the Year