A Company Reported an Increase in Accounts Payable and a Decrease

question 80

Multiple Choice

A company reported an increase in accounts payable and a decrease in inventory during 2014. Which of the following statements is correct?

• A) Cash paid to suppliers equals cost of goods sold plus both the increase in accounts payable and the decrease in inventory.
• B) Cash paid to suppliers equals cost of goods sold minus both the increase in accounts payable and the decrease in inventory.
• C)Cash paid to suppliers equals cost of goods sold minus the increase in accounts payable, plus the decrease in inventory.
• D)Cash paid to suppliers equals cost of goods sold plus the increase in accounts payable, minus the decrease in inventory.

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Definitions:

Extraneous Variable

Any variable that is not intentionally studied in the experiment, which can affect the outcome and potentially confound the results if not controlled.

Dependent Variable

The variable being tested and measured in a scientific experiment, expected to change as a result of alterations in the independent variable.

Plant Growth

The process by which plants increase in size and mass through both cell growth and cell division, influenced by environmental factors and genetic makeup.

Dependent Variable

The variable in an experiment that is measured and expected to change as a result of manipulations to the independent variable.