Sold land that cost $$42,000$ for $$46,000.$

Sold equipment that cost $$31,000$ and had accumulated depreciation of $$21,000$ for $$19,000.$

Purchased new equipment for $$199,000.$

Sold marketable securities that were classified as available$-$for$-$sale and that cost $$44,000$ for $$73,000.$

Purchased new marketable securities$,$ classified as available$-$for$-$sale, for $$108,000.$

Paid $$21,000$ on the principal of the long$-$term note.

Paid off a $$105,000$ bond issue and issued new bonds for $$210,000.$

Sold $100$ shares of treasury stock at its cost.

Issued some new common stock.

Issued some new $$50$ par preferred stock.

Paid dividends. $($Note: The only transactions to affect retained earnings were net income and dividends.$)$

Required

Organize the class into three sections and divide each section into groups of three to five students. Assign each section of groups an activity section of the statement of cash flows $($operating activities, investing activities, or financing activities$).$

Group Task

Prepare your assigned portion of the statement of cash flows using the direct method. Have a representative of your section put your activity section of the statement of cash flows on the board. As each section adds its information on the board, the full statement of cash flows will be presented.

Class Discussion

Have the class finish the statement of cash flows by computing the net change in cash. Also have the class answer the following questions:

a$.$ What is the cost per share of the treasury stock sold?

b$.$ What was the price per share of the newly issued preferred stock?

c$.$ What was the book value of the equipment sold?

Complete this question by entering your answers in the tabs below.

Statement of

Rea $A$ to $C$