Question
Home Depot reported the following balances: 12/31/14 1/01/14 Merchandise inventory $32,000 $21,000 Accounts payable 15,000 8,000 During 2018, cost of goods sold was $102,000. Calculate
Home Depot reported the following balances:
| 12/31/14 | 1/01/14 | |
|---|---|---|
| Merchandise inventory | $32,000 | $21,000 |
| Accounts payable | 15,000 | 8,000 |
During 2018, cost of goods sold was $102,000. Calculate the amount of cash paid to suppliers of merchandise inventory in 2018. Assume all inventory is purchased on credit, and accounts payable is for inventory purchases only.
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Auditing The Art and Science of Assurance Engagements
Authors: Alvin A. Arens, Randal J. Elder, Mark S. Beasley, Ingrid B. Splettstoesser
12th Canadian edition
978-0133098235
