Antoine Winery had the following transactions during 2008: 1. Issued $50,000 par value common stock for cash.

Question:

Antoine Winery had the following transactions during 2008:
1. Issued $50,000 for cash.
2. Collected $11,000 of accounts receivable.
3. Declared and paid a cash of $25,000.
4. Sold a long-term investment with a cost of $15,000 for $15,000 cash.
5. Issued $200,000 upon conversion of bonds having a of $200,000.
6. Paid $14,000 on accounts payable.
7. Purchased a machine for $30,000, giving a long-term note in exchange.
Analyze the seven transactions, and indicate whether each transaction resulted in a cash flow from
(a) Operating activities
(b) Investing activities
(c) Financing activities
(d) Noncash investing and financing activities.

Common Stock
Common stock is an equity component that represents the worth of stock owned by the shareholders of the company. The common stock represents the par value of the shares outstanding at a balance sheet date. Public companies can trade their stocks on... Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their... Face Value
Face value is a financial term used to describe the nominal or dollar value of a security, as stated by its issuer. For stocks, the face value is the original cost of the stock, as listed on the certificate. For bonds, it is the amount paid to the... Par Value
Par value is the face value of a bond. Par value is important for a bond or fixed-income instrument because it determines its maturity value as well as the dollar value of coupon payments. The market price of a bond may be above or below par,...