(SOLVED) In April Candy Canes Inc buys 50 000 of raw materials


Question Description:

$15

In April, Candy Canes, Inc., buys $50,000 of raw materials, sugar and peppermint, and pays for them in May. In May it uses all of the raw materials to produces candy. Total cost of the candy is $ 100,000 and all costs are paid in May. All candy is sold to distributors in May for $150,000, but it does not receive payment until june. For each month, what are the firm’s sales, net income, and operating cash flow?

Answer

$15