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    Accounts Payable

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    Dino Corp had cost of goods sold of $300,000 for the year ended Dec 31, 2002 and an ending inventory balance of $50,000. The beginning balances in inventory and A/P were $20,000 and $16,000 respectively. Dino finances 80% of its inventory purchases with trade A/P, incurs purchase ratably throughout the year, and consistently pays for its purchases 30 days after acquisition. What was the amount of cash paid on A/P during the year ended Dec 31, 2002?

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    I hope you are doing great. Please find my response below. I have done my best to answer your question to the best of my ability. I hope you find the response excellent. Thanks and good luck.

    First we need to calculate the total ...

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