LFM Corporation reported cost of goods sold on its income statement of $15,000.The following account balances appeared on the company's comparative balance sheet for the same year: The company uses the direct method to determine the net cash provided by (used in) operating activities.The cost of goods sold, adjusted to a cash basis, on the company's statement of cash flows for the year would be:

A) $14,000
B) $16,000
C) $10,000
D) $15,000

Cost of Goods Sold

The direct costs attributable to the production of the goods sold by a company, including material, labor, and overhead costs.

Comparative Balance

A financial statement that presents the financial position of a company at two or more different points in time, for the purpose of evaluating financial health and performance.

Direct Method

A cash flow statement preparation approach that lists major categories of gross cash receipts and payments.