Consider the three independent situations below (amounts are $ in millions): Situation Sale Revune Accounts receivable increase (Decrease) Cash received from Customer

1 200 0

2 200 30

3 200 30

Required:

a. Calculate cash paid to suppliers.

b. Prepare the summary journal entry for each situation.

Frost corporation incurred the following transactions during its first year of operations. (assume all transactions involve cash.) 1) acquired $1,900 of capital from the owners. 2) purchased $435 of direct raw materials. 3) used $290 of these direct raw materials in the production process. 4) paid production workers $490 cash. 5) paid $290 for manufacturing overhead (applied and actual overhead are the same). 6) started and completed 250 units of inventory. 7) sold 140 units at a price of $6 each. 8) paid $130 for selling and administrative expenses. the amount of raw material inventory on the balance sheet at the end of the accounting period would be: