Question
Preparing Cash Flow Data. Jen Harrison began the second year of her floral business with $12,000 in cash in her bank account. Using the information
Preparing Cash Flow Data. Jen Harrison began the second year of her floral business with $12,000 in cash in her bank account. Using the information below, all of which occurred during Year 2, prepare a statement of cash flow for Jen. Evaluate her cash management strategy during Year 2. Sold an equity interest in the business for $13,000 cash. Generated revenue from floral sales of $20,000, collecting all but $5,000. Incurred operating expenses totaling $9,000, of which $2,000 remained unpaid at the end of Year 2. Purchased new store equipment for $5,000, with a down payment of $2,500 cash and signing a note pay-able for $2,500. Paid shareholders a cash dividend of $2,800
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