The following selected account balances appeared on the financial statements of Washington Company: Accounts Receivable, January 1 $14,042 Accounts Receivable, December 31 6,763 Accounts Payable, January 1 6,000 Accounts Payable, December 31 8,001 Merchandise Inventory, January 1 8,918 Merchandise Inventory, December 31 14,798 Sales 67,025 Cost of Merchandise Sold 35,430 Washington Company uses the direct method to calculate net cash flow from operating activities, Cash payments for merchandise were Oa. $39,309 Ob. $27,549 Oc. $70,904 Od. $43,311