Cribbets Company Uses the Direct Method in Determining Net Cash

question 158

Multiple Choice

Cribbets Company uses the direct method in determining net cash provided by operating activities, During the year, operating expenses were $290,000, prepaid expenses increased $20,000, and accrued expenses payable increased $30,000. Cash payments for operating expenses were

• A) $240,000.
• B) $340,000.
• C) $300,000.
• D) $280,000.

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