Selected data taken from the accounting records of Laser Inc.for the current year ended December 31,are as follows:

During the current year,the cost of merchandise sold was $448,500,and the operating expenses other than depreciation were $78,000.The direct method is used for presenting the cash flows from operating activities on the statement of cash flows.
Required:
Determine the amount reported on the statement of cash flows for:
(1)Cash payments for merchandise;and
(2)Cash payments for operating expenses.

Question

Selected data taken from the accounting records of Laser Inc.for the current year ended December 31,are as follows:
  
During the current year,the cost of merchandise sold was $448,500,and the operating expenses other than depreciation were $78,000.The direct method is used for presenting the cash flows from operating activities on the statement of cash flows.
Required:
Determine the amount reported on the statement of cash flows for:
(1)Cash payments for merchandise;and
(2)Cash payments for operating expenses.

Quizplus · Accepted Answer

The Answer of Selected data taken from the accounting records of Laser Inc.for the current year ended December 31,are as follows:
  
During the current year,the cost of merchandise sold was $448,500,and the operating expenses other than depreciation were $78,000.The direct method is used for presenting the cash flows from operating activities on the statement of cash flows.
Required:
Determine the amount reported on the statement of cash flows for:
(1)Cash payments for merchandise;and
(2)Cash payments for operating expenses.

Selected Data Taken from the Accounting Records of Laser Inc