Colie Company Had an Increase in Inventory of $120,000

question 49

Multiple Choice

Colie Company had an increase in inventory of $120,000. The cost of goods sold was $490,000. There was a $30,000 decrease in accounts payable from the prior period. Using the direct method of reporting cash flows from operating activities, what were Colie's cash payments to suppliers?

• A) $640,000.
• B) $580,000.
• C) $370,000.
• D) $310,000.

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Definitions:

J. Stacy Adams

An American behavioral and workplace psychologist, known for developing equity theory on job motivation and satisfaction.

Process Theories

Theories focusing on the psychological and behavioral processes that motivate individuals to act in certain ways.

Content Theories

Theories that focus on understanding what motivates individuals by identifying specific factors that stimulate motivation.

Decision Making Theories

The study of the processes by which individuals come to make decisions, including models and approaches to understand these processes.