Selected Data for the Current Year Ended December 31 Are

question 2

Essay

Selected data for the current year ended December 31 are as follows:
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During the current year,the cost of goods sold was $620,000 and the operating expenses other than depreciation were $142,000.The direct method is used for presenting the cash flows from operating activities on the statement of cash flows.
Determine the amount reported on the statement of cash flows for (a)cash payments for merchandise and (b)cash payments for operating expenses.

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Definitions:

Mid-Ocean Ridge

An underwater mountain range, formed by plate tectonics, that encircles the globe.

Oceanic Trench

Deep and narrow depressions in the ocean floor, formed by the subduction of one tectonic plate under another.

Mountain Belt

A series of mountain ranges connected over a large area, formed through processes like tectonic plate collision and volcanic activity.

Island Arc

A curved series of volcanic islands located at a tectonic plate boundary, typically formed above a subducting plate.