Conroy Company Had Sales of $50,000,increase in Accounts Payable of $4,000,decrease

question 12

Multiple Choice

Conroy Company had sales of $50,000,increase in accounts payable of $4,000,decrease in accounts receivable of $3,000,tax expense of $5,000,and an increase in taxes payable of $1,000.What was the cash outflow for taxes?

• A)$54,000
• B)$4,000
• C)$6,000
• D)$53,000
• E)$45,000

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Definitions:

Journal Entries

Records of financial transactions in the chronological order made in the accounting journals.

Petty Cash Fund

A small amount of cash on hand used for paying minor expenses, managed through a system of replenishment.

Misc. Expense

Miscellaneous Expenses, generally small or irregular costs that don't fit into other categories of a company's financial statements.

Petty Cash Fund

A small amount of cash kept on hand for minor, incidental expenses.