Suppose the 2017 income statement for McDonald's Corporation shows cost of goods sold $5,178.0 million and operating

Question:

Suppose the 2017 income statement for McDonald's shows cost of goods sold $5,178.0 million and operating expenses (including depreciation expense of $1,216.2 million) $10,725.7 million. The comparative balance sheets for the year show that inventory decreased $5.3 million, prepaid expenses increased $42.2 million, (merchandise suppliers) increased $15.6 million, and accrued expenses payable increased $199.8 million.
Instructions
Using the direct method, compute
(a) Cash payments to suppliers and
(b) Cash payments for operating expenses?
Accounts Payable
Accounts payable (AP) are bills to be paid as part of the normal course of business.This is a standard accounting term, one of the most common liabilities, which normally appears in the balance sheet listing of liabilities. Businesses receive... Corporation
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