Question

1. Below is activity for A Company during the year.

Sold Equipment for $65,000.

Purchased new Equipment for $140,000

Issued bonds for $100,000.

Paid $20,000 in dividends to common stockholders.

Received $200,000 when the company had a seasoned equity offering (sold common stock).

Paid back a $300,000 Note Payable.

Fill out the Investing and Financing Section of A Company's cash flow statement.

Cash Flow Statement ASU Cash Flow from Investing Activities Sale of Equipment V [Select] Purchase of new Equipment [ Select] [ Select] Net Cash inflow(outflow) from Investing Activities Cash Flow from Financing Activities New Bond Issue [Select] Paid Dividends [Select] Sale of Common Stock [Select] Paid Notes Payable [Select] Net Cash inflow/(outflow) from Financing Activities [Select]

Answer 1

Solution

Cash flow from investing activities
Sale of Equipment	$       65,000.00
Purchase of equipment	$   (140,000.00)
Net cash outflow from Investing activities	$     (75,000.00)
Cash flow from Financing activities
New bond issue	$     100,000.00
Paid Dividend	$     (20,000.00)
Sale of common stock	$     200,000.00
Paid notes payable	$   (300,000.00)
Net cash outflow from Financing activities	$     (20,000.00)