James Company Experienced the Following Events During Its Accounting Period:(1)Purchased

question 141

Multiple Choice

James Company experienced the following events during its accounting period:(1) Purchased $10,000 of inventory on account.(2) Returned $2,000 of the inventory purchased in Event 1.(3) Paid the remaining balance in account payable for the inventory purchased in Event 1.(4) Sold inventory purchased in Event 1 for $10,000 to customers on account.At the end of the first accounting period what would be reported for Net Operating Cash Flow on the Statement of Cash Flows?

• A)$2,000
• B)($8,000)
• C)($10,000)
• D)Zero

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Definitions:

Iconographical Program

A systematic method of depicting subjects in works of art that involves a set of conventional symbols, allowing the viewer to understand its meanings and messages.

Thierry of Chartres

A 12th-century philosopher and theologian known for his work in the fields of natural philosophy, theology, and mathematics, contributing to the intellectual environment of the Twelfth-Century Renaissance.

Saint Bernard

A breed of very large working dog originating from the Swiss Alps, known for its rescue work; or, referencing historical figures, a Christian saint and abbot of the 12th century noted for founding and leading the Cistercian monastery of Clairvaux.

Chartres Cathedral

A renowned Gothic cathedral in Chartres, France, famous for its architectural innovations and stained glass windows.