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Assume the perpetual inventory system is used. 1) Green Company purchased merchandise inventory that cost $64,000 under terms of 2/10, n/30 and FOB shipping point.
Assume the perpetual inventory system is used.
- 1) Green Company purchased merchandise inventory that cost $64,000 under terms of 2/10, n/30 and FOB shipping point.
- 2) Green Company paid freight cost of $2,400 to have the merchandise delivered.
- 3) Payment was made to the supplier on the inventory within 10 days.
- 4) All of the merchandise was sold to customers for $94,000 cash and delivered under terms FOB destination with freight cost amounting to $1,600.
TB MC Qu. 04-82 What is the net cash flow from operating...
What is the net cash flow from operating activities that results from these transactions?
Multiple Choice
$94,000 inflow
$27,280 inflow
$66,720 outflow
$31,280 inflow
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