The balance sheet data of Brown Company at the end of 2015 and 2014 follow: 2015 2014
Question:
The balance sheet data of Brown Company at the end of 2015 and 2014 follow:
2015 | 2014 | |
Cash | $30,000 | $35,000 |
Accounts receivable (net) | 55,000 | 45,000 |
Inventory | 65,000 | 45,000 |
Prepaid expenses | 15,000 | 25,000 |
Equipment | 90,000 | 75,000 |
Accumulated depreciation – equipment | (18,000) | (8,000) |
Land | 70,000 | 40,000 |
$307,000 | $257,000 | |
Accounts payable | $65,000 | $52,000 |
Accrued expenses | 15,000 | 18,000 |
Notes payable – bank, long-term | 0 | 23,000 |
Bonds payable | 30,000 | 0 |
Common stock $10 par | 189,000 | 159,000 |
Retained earnings | 8,000 | 5,000 |
$307,000 | $257,000 |
Land was acquired for $30,310 in exchange for common stock, par $30,310, during the year; all equipment purchased was for cash. Equipment costing $13,486 was sold for $2,980; book value of the equipment was $6,420. Cash dividends of $8,570 were declared and paid during the year.
Compute net cash provided (used) by:
(a) Operating activities
(b) Investing activities
(c) Financing activities
Financial Accounting
ISBN: 978-0134127620
11th edition
Authors: Walter Harrison, Charles Horngren, William Thomas, Wendy Tietz