Cribbets Company Uses the Direct Method in Determining Net Cash

question 36

Multiple Choice

Cribbets Company uses the direct method in determining net cash provided by operating activities, During the year, operating expenses were $320,000, prepaid expenses increased $20,000, and accrued expenses payable increased $30,000. Cash payments for operating expenses were

• A) $270,000.
• B) $370,000.
• C) $330,000.
• D) $310,000.

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Definitions:

Pyrotechnics

The art or use of firework displays or explosive devices for entertainment, military, or industrial purposes.

Fireworks

Pyrotechnic devices used for entertainment purposes that explode in the sky to produce colorful patterns and effects, commonly used in celebrations.

Gilberto

A male given name of Portuguese or Spanish origin, often associated with people of significance within various fields such as music, sports, or the arts.

Trumpet

A brass musical instrument with a flared bell and a bright, penetrating tone.