Davis Metals Company uses the direct method to prepare its statement of cash flows.Refer to the following information reported for the year 2014 and calculate the amount paid to suppliers for operating expenses on a cash basis. Operating expenses,$26,000
Accrued Liabilities,beginning balance,$3,000
Accrued Liabilities,ending balance,$5,000
A) $29,000
B) $28,000
C) $24,000
D) $31,000
Correct Answer:
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