Davis Company Uses the Direct Method to Prepare Its Statement

question 59

Multiple Choice

Davis Company uses the direct method to prepare its statement of cash flows. Refer to the following information reported for the year 2014: Operating expenses, $26,000
Accrued Liabilities, beginning balance, $3,000
Accrued Liabilities, ending balance, $5,000
What amount was paid to suppliers for operating expenses on a cash basis?

• A)$29,000
• B)$28,000
• C)$24,000
• D)$31,000

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Definitions:

Spiritual Needs

The aspects of well-being that relate to a person's sense of purpose, beliefs, and connection to something greater than oneself.

Neonatal Intensive

Short for Neonatal Intensive Care Unit (NICU), a specialized unit for the care of ill or premature newborn infants.

Poor Prognosis

A term indicating a likely outcome of a disease or condition is unfavorable or worse than expected.

Spiritual Care

Support provided by healthcare professionals to address the spiritual and religious needs of patients, often involving respect, empathy, and compassion.