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Q3 In January 2010, the management of Noble Company concludes that it has sufficient cash to permit some short-term investments in debt and stock securities.
Q3 In January 2010, the management of Noble Company concludes that it has sufficient cash to permit some short-term investments in debt and stock securities. During the year, the following transactions occurred. Feb. 1 Purchased 600 shares of Hiens common stock for $31,800, plus brokerage fees of $600. Mar. 1 Purchased 800 shares of Pryce common stock for $20,000, plus brokerage fees of $400. Apr. 1 Purchased 50 $1,000, 7% Roy bonds for $50,000, plus $1,000 brokerage fees. Interest is payable semiannually on April 1 and October 1. July 1 Received a cash dividend of $0.60 per share on the Hiens common stock. Aug. 1 Sold 200 shares of Hiens common stock at $58 per share less brokerage fees of $200. Sept. 1 Received a $1 per share cash dividend on the Pryce common stock. Oct. 1 Received the semiannual interest on the Roy bonds. Oct. 1 Sold the Roy bonds for $50,000 less $1,000 brokerage fees. Instructions: Journalize the transactions. Q5 A Analyze the following transactions a) Issued $50,000 par value common stock for cash b) Purchased a machine for $30,000. c) Declared and paid a cash dividend of $18,000. d) Collected $16,000 of account receivable e) Redemption of Bonds Instructions: Indicate whether each transaction resulted in a cash flow from operating, investing, Financing activities or noncash investing and financing activities. B Liwa Co. reported cash provided by operating activities of $720,000, cash used by investing activities of $250,000 and cash provided by financing activities of $140,000. In addition, cash spent for capital assets during the period was $400,000. No dividends were paid. Instructions: Calculate the free cash flow
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