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10 The following information was drawn from the year-end balance sheets of Fox River, Inc.: ats Account Title Bonds payable Common stock Treasury stock Retained
10 The following information was drawn from the year-end balance sheets of Fox River, Inc.: ats Account Title Bonds payable Common stock Treasury stock Retained earnings Year 2 $ 715,000 203,000 30,000 89, 100 Year 1 $ 910,000 135,000 15,000 65,500 eBook Ask Additional information regarding transactions occurring during Year 2: Print eferences 1. Fox River, Inc. issued $41,200 of bonds during Year 2. The bonds were issued at face value. All bonds retired were retired at face value. 2. Common stock did not have a par value. 3. Fox River, Inc. uses the cost method to account for treasury stock. 4. The amount of net income shown on the Year 2 income statement was $35,700. Required a. Determine the amount of cash flow for the retirement of bonds that should appear on the Year 2 statement of cash flows. b. Determine the amount of cash flow from the issue of common stock that should appear on the Year 2 statement of cash flows. c. Determine the amount of cash flow for the purchase of treasury stock that should appear on the Year 2 statement of cash flows. d. Determine the amount of cash flow for the payment of dividends that should appear on the Year 2 statement of cash flows. e. Prepare the financing activities section of the Year 2 statement of cash flows. (Amounts to be deducted should be indicated with a minus sign.) ces Cash flows from financing activities: Net cash flow from financing activities $ 0
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