Use the information in Problem 30 for The Nine Muses, Inc., and assume the following 2009 account balance information is also available.
Credit sales............................................... $3,756,000
Cost of goods sold.................................... 1,810,000
Tax expense............................................... 434,000
Salaries expense......................................... 695,000
Required:
Determine the following items that would appear on a statement of cash flows prepared on a direct basis.
(a) Cash collected from customers
(b) Cash paid to suppliers (assuming that all inventory purchases are made on account payable)
(c) Cash paid for taxes
(d) Cash paid for salaries