Firm B accounts payable for the month are $200,000 and its wages and s

Firm B accounts payable for the month are $200,000 and its wages and salaries for the month are $100,000.

What is its total outgoing cash flow for the month if its interest payments for the month are $50,000 and its beginning cash for the month is $50,000, there are no other cash outflows for the month?
A) $400,000
B) $250,000
C) $300,000
D) $350,000

ANSWER

Answer: D
Explanation: D) The total outgoing cash flow for the month = accounts payable for the month + wages and salaries for the month + interest payment for the month = $200,000 + $100,000 + $50,000 = $350,000.