A company recorded net purchases of $20.3 billion for 20B.In 20A,ending tradepayables was $1.2 billion and in 20B,it was $1.6 billion.How much cash was paid to suppliers in 20B?
A)$18.7 billion
B)$19.9 billion
C)$20.7 billion
D)$21.9 billion

Question

Quizplus · Accepted Answer

To find the cash paid to suppliers, adjust the net purchases by the change in trade payables: $20.3 billion (net purchases) + $1.2 billion (beginning trade payables) - $1.6 billion (ending trade payables) = $19.9 billion.

A Company Recorded Net Purchases of $20