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1. The following events occurred last year at Dorder Corporation: Purchase of plant and equipment $69,000 Sale of long-term investment $51,000 Dividends received on long-term

1.

The following events occurred last year at Dorder Corporation:

Purchase of plant and equipment $69,000
Sale of long-term investment $51,000
Dividends received on long-term investments $25,500
Paid off bonds payable $56,500
Depreciation expense $26,000

Based on the above information, the cash provided (used) by investing activities for the year on the statement of cash flows would net to:

$(18,000)

$(56,500)

$(26,000)

$(75,000)

2. Last year Burch Corporation's cash account decreased by $20,000. Net cash provided by investing activities was $7,500. Net cash used in financing activities was $17,000. On the statement of cash flows, the net cash flow provided by (used in) operating activities was:

$(10,500)

$(20,000)

$9,500

$(29,500)

3. McCorey Corporation recorded the following events last year:

Repurchase by the company of its own common stock $40,000
Sale of long-term investment $59,000
Interest paid to lenders $15,000
Dividends paid to the company's shareholders $69,000
Collection by McCorey of a loan made to another company $45,000
Payment of taxes to governmental bodies $25,000

On the statement of cash flows, some of these events are classified as operating activities, some are classified as investing activities, and some are classified as financing activities.

Based solely on the information above, the net cash provided by (used in) investing activities on the statement of cash flows would be:

$104,000

$(9,000)

$(20,000)

$35,000

4.Financial statements of Rukavina Corporation follow:

Rukavina Corporation Comparative Balance Sheet
Ending Balance Beginning Balance
Assets:
Cash and cash equivalents $26 $23
Accounts receivable 81 74
Inventory 39 33
Property, plant and equipment 558 500
Less: accumulated depreciation

330

301

Total assets

$374

$329

Liabilities and stockholders' equity:
Accounts payable $44 $56
Bonds payable 105 130
Common stock 81 74
Retained earnings

144

69

Total liabilities and stockholders' equity

$374

$329

Income Statement
Sales $715
Cost of goods sold

454

Gross margin 261
Selling and administrative expenses

125

Net operating income 136
Income taxes

48

Net income

$88

Cash dividends were $13. The company did not dispose of any property, plant, and equipment. It did not issue any bonds payable or repurchase any of its own common stock. The following questions pertain to the company's statement of cash flows.

The net cash provided by (used in) investing activities for the year was:

$(13)

$7

$(25)

$(58)

5. Alcoser Corporation's most recent balance sheet appears below:

Comparative Balance Sheet
Ending Balance Beginning Balance
Assets:
Cash and cash equivalents $34 $29
Accounts receivable 32 36
Inventory 53 66
Property, plant and equipment 554 480
Less accumulated depreciation 208 206
Total assets $465 $405
Liabilities and stockholders equity:
Accounts payable $41 $50
Accrued liabilities 17 16
Income taxes payable 28 30
Bonds payable 217 200
Common stock 75 70
Retained earnings 87 39
Total liabilities and equity $465 $405

Net income for the year was $60. Cash dividends were $12. The company did not dispose of any property, plant, and equipment. It did not issue any bonds payable or repurchase any of its own common stock. The following questions pertain to the company's statement of cash flows. The net cash provided by (used in) investing activities for the year was:

$74

($74)

($72)

$72

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