Choco Company's prepaid insurance was $10,000 at December 31, 2012, and $15,000 at December 31, 2013. Choco
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Question:
Choco Company's prepaid insurance was $10,000 at December 31, 2012, and $15,000 at December 31, 2013. Choco reported insurance expense of $25,000 on the 2013 income statement. What amount would be reported in the statement of cash flows as insurance paid using the direct method?
A. $20,000.
B. $25,000.
C. $30,000.
D. $35,000.
Related Book For
Financial accounting
ISBN: 978-0132751124
9th edition
Authors: Walter T. Harrison Jr., Charles T. Horngren, C. William Thom
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