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a) Cash received from customers. b) Cash dividends paid. c) Redemption of bonds payable. d) Proceeds from sale of equipment. e) Proceeds from sale of
a) Cash received from customers.
b) Cash dividends paid.
c) Redemption of bonds payable.
d) Proceeds from sale of equipment.
e) Proceeds from sale of short-term investments.
The following are selected statement of financial position accounts of Sarasota Ltd. at December 31, 2019 and 2020, and the increases or decreases in each account from 2019 to 2020. Also presented is the selected income statement and other information for the year ended December 31, 2020. Statement of Financial Position (selected accounts) Increase (Decrease) Assets 2020 2019 Accounts receivable $84,900 $73,200 $11,700 FV-NI investments 40,500 50,100 (9,600 ) Property, plant, and equipment 179,600 147,200 32,400 Accumulated depreciation (79,900) (68,100) 11,800 Liabilities and shareholders' equity Bonds payable 151,500 146,700 4,800 Dividends payable 7,500 5,350 2,150 Common shares 31,400 20,800 10,600 Retained earnings 106,200 91.250 14,950 Income Statement (selected information) For the Year Ended December 31, 2020 Sales revenue $315,000 Depreciation expense 33,200 Gain on disposal of FV-Nl investments 3,800 Unrealized loss on FV-NI investments 3,200 Gain on disposal of equipment 14,600 Net income 31,300 Additional information: 1. During 2020, equipment costing $43,400 was sold for cash. 2. Accounts receivable relate to sale of inventory. 3. During 2020, $20,700 of bonds payable were issued in exchange for property, plant, and equipment. All bonds were issued at par. 4. During the year, short-term investments accounted for at FV-Nl with a carrying amount of $18,300 were sold. Additional investments were purchased. Determine the category (operating, investing, or financing) and the amount that should be reported in the statement of cash flows for the following items, assuming Sarasota Ltd. follows IFRS and has chosen to report cash dividends received and paid as operating activities and interest received and paid as operating activitiesStep by Step Solution
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