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Identify the following transactions as Operating (O), Investing (I) or Financing (F) or as non-cash Activity (NC). Also, record next to the above information, the
Identify the following transactions as Operating (O), Investing (I) or Financing (F) or as non-cash Activity (NC).
Also, record next to the above information, the $ amount to be reported on the cash flow statements. Designate cash inflows as positive and cash outflows as negative amount within parentheses.
1. Sold equipment for $5,000 cash
2. Repaid a five-year $2,000 note payable.
3. Sold merchandise for $5,000 cash to customers.
4. Issued common shares in exchange for new equipment (worth $5000).
5. Sold long-term investments in the common stock of Facebook for 6,000 cash.
6. Acquired a long-term investment for $100,000 cash.
7. Paid part time employee salaries $1,000.
8. Converted $1M worth of bonds payable to common shares.
9. Declared and paid $.70 dividend/per share on 20,000 common shares;
10. Collected an account receivable of $1,000.
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