(Appendix 14A) the Change in Each of Kendall Corporation's Balance

question 21

Multiple Choice

(Appendix 14A) The change in each of Kendall Corporation's balance sheet accounts last year follows:
Kendall Corporation's income statement for the year was:
There were no sales or retirements of property, plant, and equipment and no dividends paid during the year. The company pays no income taxes and it did not purchase any long-term investments, issue any bonds payable, or repurchase any of its own common stock. The net cash provided by (used in) operating activities on the statement of cash flows is determined using the direct method.
-Using the direct method,the cost of goods sold adjusted to a cash basis would be:

• A) $180,000
• B) $174,000
• C) $177,000
• D) $186,000

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