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I understand that this question has been asked/answered. Which why i am asking how did you come up with 25,000 for Cash from Investing Activities

I understand that this question has been asked/answered. Which why i am asking how did you come up with 25,000 for

Cash from Investing Activities

Net Change in Furniture $ Fixture $25,000

Net cash used in Investing activities (b) ($25,000)

The answer did not break down how they got 25,000 because i am getting somethings else. So please help me as to why i submitted this question and not worry about how much time it took to copy a link over.

Just 4 Kid

Bill Travis owns two Just 4 Kids stores in Florence, South Carolina. He believes that the stores have been successful and he wants to open a new store in Sumter about 30 miles west of Florence. Bill has been in the retail line for over 20 years, and he worked at his uncles hobby shop while in high school and college before starting his own store at the age of 25.

Two big secrets to a successful toy store operation are good location and product selection. Bills first store is located in downtown Florence. Since Bill had been born and raised in Florence, he attracted a good customer base that remained loyal to his store after some of the giant chain related toy stores began to move into the area. About 10 years ago, Bill saw the change in customer shopping habits and purchased a second store near an interchange to Interstate 95 in a rapidly growing retail area. Lots of new families had moved into the area, and Bill could not totally rely on the good old boy market alone to sustain his market share. This second store catered to the younger more mobile generation that shopped at or near malls.

Bill now was looking into other markets. Sumter was not located on the interstate, but the area was growing because of its proximity to the state capital of Columbia, which was just 30 miles to its west. Bill believed that the people of Sumter who commuted to work in Columbia would prefer to limit their driving for shopping activities to the immediate Sumter area. Also, since Bill was a respected citizen of Florence, his reputation as an honest businessman had spread to Sumter. He believed he could quickly build up a new customer base in that location. The big chain type stores also did not seem as interested in the Sumter area, preferring instead to locate in the larger metropolitan areas of Columbia and Florence.

The appropriate toy items to feature in his stores were very important. Bill felt that his area of influence was strictly regional, and he did not have to carry much of the standard inventory of the national chain type of toy stores. His toy lines were more a reflection of local interest; thus NASCAR related items were hot sellers. Bills clientele also seemed interested in computer action games and a new line of Yall talking dolls.

Bill went to the Florence National Bank to inquire about funding for the new store location. He had found an abandoned furniture store in downtown Sumter along Main Street that was up for sale for $280,000. The store seemed to be the right size and at a good location. A grocery store was in the same block with ample off street parking. Bill brought his balance sheet for the last two years and an income statement for the last operating year to the bank to support his request for a retail loan of $250,000. (Copies of the financial statements are listed at the end of the case.)

Nick Tightwad, the local bank loan vice president had been a friend of Bills for many years. He was a customer at Bills toy store on close out sales, and his bank had underwritten the funding for the second store. Nick was excited about Bills expansion goals and the prospect of another business loan with his friend. At the same time, Nick had to live up to his reputation. He was not about to approve a loan unless he was almost 100 percent sure that the borrower would not default. Bills past success had alleviated much of Nicks concern, but he still wanted to complete a detailed analysis of the financial performance of Just 4 Kids during the last calendar year. Upon reviewing the balance sheet, Nick noticed a drop in cash during the last year even though Bill showed a strong profitable performance. The current financial statements did not seem to give enough information to answer Nicks questions and he asked Bill to prepare a statement of cash flows for the year ending December 31, 20x7.

How did you all get the following????

Cash from Investing Activities

Net Change in Furniture $ Fixture $25,000

Net cash used in Investing activities (b) ($25,000)

http://www.chegg.com/homework-help/questions-and-answers/4-kids-bill-travis-owns-two-4-kids-stores-florence-south-carolina-believes-stores-successf-q9459355?trackid=13c52b2b&strackid=5b9a508b&ii=4

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