Sales for 2010 were $50,000; cost of goods sold was $35,000. If accounts receivable increased by $2,000;

Question:

Sales for 2010 were $50,000; cost of goods sold was $35,000. If accounts receivable increased by $2,000; inventory decreased by $1,300; accounts payable decreased by $2,000; and other accrued liabilities decreased by $1,000, how much cash was paid to vendors and suppliers during the year? How would the cash from this transaction be classified on the statement of cash flows?

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... Accounts Receivable
Accounts receivables are debts owed to your company, usually from sales on credit. Accounts receivable is business asset, the sum of the money owed to you by customers who haven’t paid.The standard procedure in business-to-business sales is that...