1)

Yowell Company began operations on January 1, Year 1. During Year 1, the company engaged in the following cash transactions:

1. 1) issued stock for $70,000
2. 2) borrowed $40,000 from its bank
3. 3) provided consulting services for $69,000 cash
4. 4) paid back $30,000 of the bank loan
5. 5) paid rent expense for $16,500
6. 6) purchased equipment for $27,000 cash
7. 7) paid $4,500 dividends to stockholders
8. 8) paid employees' salaries of $36,000

What is Yowell's net cash flow from operating activities?

a) Inflow of $52,500

b) Inflow of $33,000

c) Inflow of $16,500

d) Inflow of $12,000

2)

Packard Company engaged in the following transactions during Year 1, its first year of operations. (Assume all transactions are cash transactions.)

1. Acquired $1,400 cash from the issue of common stock.
2. Borrowed $870 from a bank.
3. Earned $1,050 of revenues cash.
4. Paid expenses of $340.
5. Paid a $140 dividend.

During Year 2, Packard engaged in the following transactions. (Assume all transactions are cash transactions.)

1. Issued an additional $775 of common stock.
2. Repaid $535 of its debt to the bank.
3. Earned revenues of $1,200 cash.
4. Incurred expenses of $540.
5. Paid dividends of $190.

What is the amount of Packard Company's net cash flow from financing activities for Year 2?

a) Net outflow of $535.

b) Net inflow of $585.

c) Net inflow of $50.

d) Net outflow of $725.