Question
) Basha Company Income Statement For the year ended December 31, 2019 Sales $70,000 Cost of goods sold 40,000 Gross margin 30,000 Depreciation expense 5,000
) Basha Company
Income Statement
For the year ended December 31, 2019
Sales | $70,000 |
Cost of goods sold | 40,000 |
Gross margin | 30,000 |
Depreciation expense | 5,000 |
Other operating expenses | 15,000 |
Operating income | 10,000 |
Loss on sale of equipment | 4,000 |
Income before taxes | 6,000 |
Income tax expense | 2,400 |
Net income | $3,600 |
Additional data on activities during 2019 are as follows:
During 2019, Basha Company sold used equipment for $3,000 that had cost $15,000 with accumulated depreciation of $8,000.
New equipment was purchased for $12,000 cash.
Cash dividends totaling $8,000 were paid.
Long-term investments that had cost $18,000 when purchased were sold for $18,000.
Common stock was issued for $10,000.
Required:
Prepare the financing activities section of the statement of cash flows.
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