1. Pax Corp. uses the direct method to prepare its statement of cash flows. Pax's trial balances at December 31, 2015 and 2014 are as follows:

December 31

2015 2014

Debits

Cash $ 40,200 $ 36,000

Accounts receivable 32,000 27,000

Inventory 29,680 45,000

Property, plant, & equipment 72,000 75,000

Unamortized bond discount 3,600 4,000

Cost of goods sold 220,000 345,000

Selling expenses 118,000 140,000

General and administrative expenses 100,100 130,000

Interest expense 4,135 2,500

Income tax expense 14,400 41,200

$634,115 $845,700

Credits

Allowance for uncollectible accounts 1,100 $ 1,000

Accumulated depreciation 10,500 12,000

Trade accounts payable 22,000 15,500

Income taxes payable 18,000 24,100

Deferred income taxes 6,000 4,000

8% callable bonds payable 35,000 18,000

Common stock 38,000 22,000

Additional paid-in capital 8,100 6,500

Retained earnings 57,915 52,000

Sales 437,500 690,600

$634,115 $845,700

Pax purchased $4,000 in equipment during 2015.

Pax allocated one third of its depreciation expense to selling expenses and the remainder to general and administrative expenses. There were no write-offs of accounts receivable during 2015.

Required: For Paxs December 31, 2015 Statement of Cash Flows, answer the following questions:

What is cash collected from customers for December 31, 2015?

What is cash paid for purchases of merchandise inventory goods to be sold?

What is cash paid for interest?

What is cash paid for income taxes?

What is cash paid for selling expenses?