The cost of merchandise sold reported on the income statement was $240,000 The accounts payable balance increased $12,000, and the inventory balance increased by $19,200 over the year Determine the amount of cash paid for merchandise ...

Cost of merchandise sold 2400 ...

The cost of merchandise sold reported on the income statement was $240,000. The accounts payable balance increased

Question:

The cost of merchandise sold reported on the income statement was $240,000. The balance increased $12,000, and the inventory balance increased by $19,200 over the year. Determine the amount of cash paid for merchandise.

Accounts Payable
Accounts payable (AP) are bills to be paid as part of the normal course of business.This is a standard accounting term, one of the most common liabilities, which normally appears in the balance sheet listing of liabilities. Businesses receive...