Use the Following Information About the Current Year's Operations of a Company

Use the following information about the current year's operations of a company to calculate the cash paid for merchandise.
$$\begin{array} { | l | r | } \hline \text { Cost of goods sold } \ldots \ldots \ldots \ldots \ldots \ldots \ldots \ldots \ldots \ldots \ldots & \$ 735,000 \\\hline \text { Merchandise inventory, January } 1 \ldots \ldots \ldots \ldots \ldots \ldots & 84,700 \\\hline \text { Merchandise inventory, December } 31 \ldots \ldots \ldots \ldots \ldots & 82,400 \\\hline \text { Accounts payable, January } 1 \ldots \ldots \ldots \ldots \ldots \ldots \ldots \ldots & 54,500 \\\hline \text { Accounts payable, December } 31 \ldots \ldots \ldots \ldots \ldots \ldots & 60,200 \\\hline\end{array}$$

A) $727,000.
B) $726,300.
C) $732,700.
D) $737,300.
E) $737,700.

Correct Answer:

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