Question
12.Made $350,000 sales in cash and $180,000 of sales on account 13. Purchased a $250,000 building by paying $50,000 in cash and issuing a note
12.Made $350,000 sales in cash and
$180,000 of sales on account
13. Purchased a $250,000 building by
paying $50,000 in cash and issuing
a note for the rest
14. Sold a building with a book value of
$80,000 for $75,000 cash.
15. Sold $5,000 of the shares of Yolo
Company for $4,500.
please help me whether each transaction is a cash inflow/outflow/or N/A (did not impact cash), what type of activity it is (Operating, Investing, Financing or N/A) and how much, if any, we should recognize in the Statement of Cash Flows. If a transaction requires two entries on the SCF, the amount we should recognize under each section and whether it was an inflow, outflow, positive adjustment or negative adjustment. Assume we are using the indirect method).
and the transactions on a Financial Statements Effects Template.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started