Yellow Shoe Company, a distributor, purchases all its shoe inventory from Styles Limited. Selected account balances are included in the following table: Dec. 31, Year 1Dec. 31, Year 2Cash$7,700$17,500Accounts receivable42,50046,000Allowance for doubtful accounts3,5504,950Shoe inventory50,00037,500Accounts payable, Styles Limited25,00022,500Sales revenue500,000Cost of Goods Sold300,000Operating expenses141,000 Yellow Shoe Company uses the direct method to report operating activities in its Statement of Cash Flows.

How much will Brown report as cash paid to suppliers in its Year 2 Statement of Cash Flows?

Answer rating: 100% (QA)

To calculate the cash paid to suppliers Accounts Payable Styles ... View the full answer