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Geographic Enterprises Inventory account decreased by $37,590 and its Accounts Payable account (which relates solely to the purchase of merchandise) decreased by $13,790 during the
Geographic Enterprises Inventory account decreased by $37,590 and its Accounts Payable account (which relates solely to the purchase of merchandise) decreased by $13,790 during the year. Geographic also reported net sales revenues of $856,000 and total operating expenses of $799,600 during the same period. The gross profit margin ratio was 35% during the year. The company always purchases the half of inventory on account during the year.
What is the amount of Geographics cash payments to its suppliers for inventory during the year?
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