A Company Purchased $20,000 of Inventory During February and Will

question 117

Multiple Choice

A company purchased $20,000 of inventory during February and will pay for it during March.Which of the following statements is false,assuming the inventory was sold during March?

• A)The company's accounts payable will include the $20,000 on the February month-end balance sheet.
• B)The statement of cash flows will report an operating cash outflow of $20,000 during March.
• C)The income statement will report cost of goods sold of $20,000 during February.
• D)The company's inventory will include the $20,000 on the February month-end balance sheet.

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