1. A corporation had a $50,000 balance in Accounts Receivable at the beginning of the year and a $60,000 balance at the end of the year. Throughout the year the corporation reported $1,037,500 in sales, 80 percent on account. How much cash received from customers should be reported on the statement of cash flows?

a.	$1,037,500
b.	$1,027,500
c.	$1,047,000
d.	$820,000
e.	$840,000

2. A corporation had a $42,000 balance in Accounts Receivable at the beginning of the year and a $22,000 balance at the end of the year. All sales are made on account. The corporation reported $83,000 cash received from customers on its statement of cash flows. What is the total sales that were reported on the income statement?

a.	$63,000
b.	$103,000
c.	$147,000
d.	$19,000
e.	Cannot be determined from the above information.

3. Queen Company's cost of goods sold for the accounting period just ended was $650,000. During the same period, Queen's inventory decreased by $10,000 and its liability to inventory suppliers increased by $8,000. How much cash paid to suppliers should Queen report on its statement of cash flows?

a.	$668,000
b.	$652,000
c.	$648,000
d.	$632,000

4. Metcalf Company's cost of goods sold for the accounting period just ended was $650,000. During the same period, Metcalf's inventory increased by $10,000 and its liability to inventory suppliers increased by $8,000. How much cash paid to suppliers should Metcalf report on its statement of cash flows?

a.	$668,000
b.	$652,000
c.	$648,000
d.	$632,000

(Answer the following two questions with this information set)

The Mills Company has made the following information available:

	Ending	Beginning
	Balance	Balance
Cash	$ ?	$107,000
Accounts Receivable	10,000	8,000
Inventory	4,000	12,000
Supplies	1,000	1,500
Prepaid Rent	3,500	2,000
Accounts Payable	15,000	10,000
Unearned Rent Revenue	6,000	3,500
Salaries Payable	1,000	3,000
Retained Earnings	266,000	?
Total Equity	?	500,000

During the year, the company recorded the following activities:

1. the purchase of equity securities in Haley Company; $10,000

2. the payment of cash dividends; $9,000

3. the purchase of treasury stock; $7,500

4. the sale of land costing $40,000; $50,000

5. the amortization of a premium on bonds payable; $2,000

6. the amortization of a discount on bonds payable; $5,000

7. the annual depreciation of plant and equipment; $16,000

8. annual accrual net income; $140,000

5. Net cash flows from operations for Mills during the year amounted to a

a.	$159,500 inflow.
b.	$179,500 inflow.
c.	$160,000 inflow.
d.	$161,500 inflow.
e.	None of the above.

6. Net cash flows from investing activities for Mills during the year amounted to a

a.	$31,000 inflow.
b.	$32,500 inflow.
c.	$40,000 inflow.
d.	$50,000 inflow.
e.	None of the above.