80.2K

Verified Solution

Link Copied!

part 4 Cridberg Corporation's selling and administrative expenses for last year totaled $290,000. During the year the company's prepaid expense account balance increased by $33,000 and accrued liabilities decreased by $27,000. Depreciation for the year was $55,000. Based on this information, selling and administrative expenses adjusted to a cash basis under the direct method on the statement of cash flows would be: a.) $285,000 b.) $405,000 c.) $175,000 d.) $295,000 part 5 Last year Anderson Corporation reported a cost of goods sold of $111,000. The company's inventory at the beginning of the year was $13,200, and its inventory at the end of the year was $22,300. The prepaid expense account increased by $3,100 between the beginning and end of the year, and the accounts payable account decreased by $5,100. Cost of goods sold adjusted to the cash basis under the direct method would be: 2.) $102,800 b.) $119,200 c.) $125,200 d.) $123,200 part 6 The ending balance of accounts receivable was $79,000. Sales, adjusted to a cash basis using the direct method on the statement of cash flows, were $364,000. Sales reported on the income statement were $393,000. Based on this information, the beginning balance in accounts receivable was: a.) $108,000 b.) $29,000 C.) $109,000 d.) $50,000

Answer & Explanation Solved by verified expert

See Answer