The Following Are from Forman's Comparative Balance Sheet and 2017

question 83

Multiple Choice

The following are from Forman's comparative balance sheet and 2017 income statement:
$$\begin{array} { | l | r | r | } \hline & \text { December 31,2017 } & \text { January 1, 2017 } \\\hline \text { Accounts receivable } &\$ 2 2 , 0 0 0 & \$ 19 , 0 0 0 \\\text { Unearned revenue } &3 , 0 0 0 & 4,000 \\\text { Salaries payable } & 8 , 0 0 0 &5 , 0 0 0\\\text { Sales revenue } & 154,000 & \\\text { Salaries expense } &8 8 , 0 0 0 &\end{array}$$

Determine the amount of cash that Forman Incorporated paid for salaries during 2017.

• A)$91,000
• B)$88,000
• C)$85,000
• D)$80,000

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Definitions:

Correlation Coefficient

A statistical measure that calculates the strength and direction of the relationship between two variables.

Linear Regression

A statistical method for modeling the relationship between a dependent variable and one or more independent variables by fitting a linear equation.

Independent Variable

A variable that is manipulated or changed in an experiment to test its effects on dependent variables.

Scatterplot

A graphical representation using dots to show the relationship or correlation between two variables.