The following data is from Los Altos, Inc.: Cost of goods sold $243,000 Inventory, January 1 42,750 Inventory, December 31 49,500 Accounts payable, January 1 24,750 Accounts payable, December 31 15,750 Using the above data, calculate the cash Los Altos, Inc. paid for merchandise purchased: $Answer

The following data is from Los Altos, Inc.: Cost of goods sold $243,000 Inventory, January 1 42,750 Inventory, December 31 49,500 Accounts payable, January 1 24,750 Accounts payable, December 31 15,750 Using the above data, calculate the cash Los Altos, Inc. paid for merchandise purchased: $Answer

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

Direct Method

The following data is from Los Altos, Inc.:

Cost of goods sold	$243,000
Inventory, January 1	42,750
Inventory, December 31	49,500
Accounts payable, January 1	24,750
Accounts payable, December 31	15,750

Using the above data, calculate the cash Los Altos, Inc. paid for merchandise purchased: $Answer

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