1)

Stormer Company reports the following amounts on its statement of cash flow: Net cash provided by operating activities was $40,000; net cash used in investing activities was $14,800 and net cash used in financing activities was $19,200. If the beginning cash balance is $7,400, what is the ending cash balance?

Multiple Choice

$81,400.

$13,400.

$66,600.

$43,000.

$6,000.

2)

A company has an investment in 9% bonds with a par value of $216,000 that pay interest on October 1 and April 1. The amount of interest accrued on December 31 (the company's year-end) would be:

Multiple Choice

$3,240.

$4,860.

$1,620.

$19,440.

$9,720.

3)

A companys flexible budget for 8,000 units of production showed sales, $34,400; variable costs, $17,600; and fixed costs, $17,000. The variable costs expected if the company produces and sells 17,000 units is:

Multiple Choice

$34,400.

$17,600.

$54,400.

$51,400.

$37,400.

4)

Jeffreys Company reports depreciation expense of $49,000 for Year 2. Also, equipment costing $167,000 was sold for a $10,900 loss in Year 2. The following selected information is available for Jeffreys Company from its comparative balance sheet. Compute the cash received from the sale of the equipment.

At December 31	Year 2			Year 1
Equipment	$	655,000		$	822,000
Accumulated Depreciation-Equipment		464,000			545,000

Multiple Choice

$49,000.

$37,000.

$47,900.

$26,100.

$70,100.

5)

A machine with a cost of $150,000, accumulated depreciation of $95,000, and current year depreciation expense of $22,000 is sold for $48,000 cash. The amount that should be reported as a source of cash under cash flows from investing activities is:

Multiple Choice

$7,000.

$47,000.

$22,000.

$25,000.

$48,000.