The cost of goods sold during the year was $50,000.Merchandise inventories were $12,500 and $10,500 at the beginning and end of the year,respectively.Accounts payable (all owed to merchandise suppliers)were $6,000 and $5,000 at the beginning and end of the year,respectively.Using the direct method of reporting cash flows from operating activities,cash payments for merchandise total

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The cost of goods sold is $50,000. The beginning merchandise inventory is $12,500 and the ending merchandise inventory is $10,500. The beginning accounts payable is $6,000 and the ending accounts payable is $5,000. Therefore, the cash payments for merchandise total $49,000.

The Cost of Goods Sold During the Year Was $50,000