Last Year Marton Corporation Reported a Cost of Goods Sold

question 16

Multiple Choice

Last year Marton Corporation reported a cost of goods sold of $720,000 on its income statement. The following additional data were taken from the company's comparative balance sheet for the year: The company uses the direct method to determine the net cash provided by operating activities on the statement of cash flows. The cost of goods sold adjusted to a cash basis would be:

• A)$740,000
• B)$767,000
• C)$747,000
• D)$673,000

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Definitions:

Private Label Brands

Brands owned by a retailer or supplier that is only sold in their own stores, offering an alternative to national brands.

Generic Brands

Products that are marketed without a branded name, often as a lower-cost alternative to named brands.

Co-brands

Co-brands are collaborations between two or more brands to create a product or service that leverages the strengths and market appeal of each brand involved in the partnership.

Nielsen Research Firm

A global information, data, and measurement company specializing in market research and analytics, known for its television ratings and consumer behavior research.