Inventory and accounts payable problem
Dee's inventory and accounts payable balances at December 31, 2011, increased over their December 31, 2010, balances. Should these increases be added to or deducted from cash payments to suppliers to arrive at 2011 cost of goods sold?
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An expansion at Huebschman, Inc., would increase sales revenues by $76,000 per year and cash operating expenses by $33,000 per year. The initial investment would be for equipment that would cost $196,000 and have a 7 year life with no salvage valu
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