Question 1

Lange Co. provided the following information on selected transactions during 2016:

Purchase of land by issuing bonds $150,000

Proceeds from issuing bonds 300,000

Purchases of inventory 570,000

Purchase of treasury stock 90,000

Loans made to others 210,000

Dividends paid to preferred stockholders 60,000

Proceeds from issuing preferred stock 240,000

Proceeds from sale of equipment 30,000

The net cash provided (used) by investing activities during 2018 is

a. $30,000

b. $(180,000)

c. $(330,000)

d. $(750,000)

Question 2

Rodd Company sold some of its plant assets during 2018. The original cost of the plant assets was $150,000 and the accumulated depreciation at date of sale was $140,000. The proceeds from the sale of the plant assets were $21,000. The information concerning the sale of the plant assets should be shown on Ando's statement of cash flows (indirect method) for the year ended December 31, 2018, as

a.subtraction from net income of $11,000 and a $10,000 increase in cash flows from financing activities.

b. addition to net income of $11,000 and a $21,000 increase in cash flows from investing activities.

c. subtraction from net income of $11,000 and a $21,000 increase in cash flows from investing activities

d. addition of $21,000 to net income.

Question 3

the following information applied to Greys, Inc. for 2018:

Gross purchased $300,000

Freight-in 8,000

Freight-out 5,000

Purchase returns 2,000

Greys 2015 inventorial cost was

a.$300,000

b.$303,000

c.$306,000

d.$311,000

Question 4

Gore Companys accounting records indicated the following information: Inventory, 1/1/17 $600,000 Purchases during 2017 $3,000,000 Sales during 2017 $3,800,000 A physical inventory taken on December 31, 2017, resulted in an ending inventory of $700,000. Keens gross profit on sales has remained constant at 25% in recent years. Keen suspects some inventory may have been taken by a new employee. At December 31, 2017, what is the estimated cost of missing inventory? a. $50,000. b. $150,000. c. $200,000. d. $250,000.