Blackmon Company reported net income of $805,000 and cost of goods sold of $1,525,000 on its 2011

Question:

Blackmon Company reported net income of $805,000 and cost of goods sold of $1,525,000 on its 2011 income statement. In addition, Blackmon reported an increase in inventory of $65,410, a decrease in prepaid insurance of $12,800, and a decrease in of $43,190.

Required:
Compute the amount of cash payments to suppliers using the direct method. Accounts Payable
Accounts payable (AP) are bills to be paid as part of the normal course of business.This is a standard accounting term, one of the most common liabilities, which normally appears in the balance sheet listing of liabilities. Businesses receive...