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need help with question 7 Exercise 2-25A (Algo) Classifying events on the statement of cash flows LO 28 The following transactions pertain to the operations
need help with question 7
Exercise 2-25A (Algo) Classifying events on the statement of cash flows LO 28 The following transactions pertain to the operations of Ewing Company for Year 1 : 1. Acquired $23,700 cash from the issue of common stock. 2. Provided $16,400 of services on account. 3. Paid $15,000 cash on accounts payable. 4. Performed services for $38,000 cash. 5. Collected $5,200 cash from accounts receivable. 6. Incurred $7,150 of operating expenses on account. 7. Paid a $25,200 cash for one year's rent in advance, 8. Paid a $7,500 cash dividend to the stockholders. 9. Paid $2,700 cash for supplies to be used in the future. 10. Recognized $33,600 of accrued salaries expense. Required a. Classify the cash flows from these transactions as operating activities (OA), investing activities (IA), or financing activities (FA). b. Prepare a statement of cash flows. (There is no beginning cash balance) Step by Step Solution
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