If a company's Cost of Goods Sold is $158,000 for the period, beginning and ending Inventory balances are $18,000 and $13,000, respectively, and the beginning and ending Accounts Payable balances are $19,000 and $7,500, respectively, what is the amount of the cash paid to suppliers?

$164500

Step-by-step explanation:

From the given information:

Decrease in inventory = Beginning inventory - Ending inventory

Decrease in inventory = $18000 - $13000

Decrease in inventory = $5000

Decrease in account payable = $19,000 - $7,500

Decrease in account payable = $11500

The amount of cash paid to suppliers is computed as:

Cost of goods sold                                         $158000

Less: Decrease in inventory                          -     5000

Add: decrease in accounts payable              +   11500

The amount of cash paid back to suppliers: $164500