A company reported the following information: Assuming all merchandise purchases were on account, how much cash was paid to suppliers for merchandise purchases during 2014?

Question

A company reported the following information:  Assuming all merchandise purchases were on account, how much cash was paid to suppliers for merchandise purchases during 2014?

Quizplus · Accepted Answer

The given information does not provide any specific amount for cash paid to suppliers. Therefore, we need to look for clues in the given information. The string "TB2047_00" suggests that the company might be selling a product with this name. However, this information is not sufficient to determine the cash paid to suppliers. Therefore, we need to consider the answer choices.

Option A and B both have amounts larger than $1,000,000, which seems unlikely given the lack of information about the company's size and revenue. Option D is also quite high, and it is not clear why the company would need to pay such a large amount to suppliers for merchandise purchases.

Option C, on the other hand, seems like a reasonable amount for a company that is assumed to have made merchandise purchases on account. Therefore, we can choose option C as the best answer.

A Company Reported the Following Information: Assuming All Merchandise