5. Toodles Company sold equipment for a $3,000 gain that cost $21,000 and had accumulated depreciation of $20,000. How much cash did the company receive on the sale? A. $3,000 B. $7,000 C. $4,000 D. Not enough information to determine the amount 6. The ending balance on the statement of cash flow equals the cash reported on the company's balance sheet at the end of the year. A. True B. False 7. Cash flows from investing activities, as part of the statement of cash flows, include the purchase of long-term assets. A. True B. False 8. Cash inflows from financing activities include the issuance of common stock. A. True B. False 9. If cash dividends of $140,000 were paid during the year and the company sold 1,000 shares of common stock at $40 per share, the statement of cash flows would report net cash outflow from financing activities as ($100,000). A. True B. False 10. When preparing cash flows from the operating activities section of the statement of cash flows by the indirect method, you first add back net income then adjust for gains and losses by adding the gains and subtracting the losses. A. True B. False