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Sunland Corporation reported the following information (in thousands) at December 31, 2018: 2018 2017 Dividends payable $ 20 $ 5 Bank loan payablecurrent portion 300
Sunland Corporation reported the following information (in thousands) at December 31, 2018:
2018 | 2017 | ||||||
Dividends payable | $ | 20 | $ | 5 | |||
Bank loan payablecurrent portion | 300 | 300 | |||||
Bank loan payablenon-current portion | 420 | 300 | |||||
Common shares | 640 | 415 | |||||
Retained earnings | 760 | 515 |
Additional information:
1. | The bank loan was increased by additional borrowings of $300 to partially finance the purchase of new equipment that cost $520. The bank loan was decreased by repayments. | ||
2. | Common shares were issued during the year. None were reacquired. | ||
3. | Dividends were paid during the year. | ||
4. | Net income for the year was $420. |
Prepare the financing activities section of Sunland s statement of cash flows for the year. (Show amounts that decrease cash flow with either a - sign e.g. -15,000 or in parenthesis e.g. (15,000).)
SUNLAND CORPORATION Statement of Cash Flows (Partial) ($ in thousands) Month Ended December 31, 2018December 31, 2018Year Ended December 31, 2018 | |||
Financing activities | |||
Repayment of bank loan payableSurrender of common sharesBank loan receivablePayment of cash dividendsCash dividends receivedIssue of common shares | $ | ||
Bank loan receivableRepayment of bank loan payableCash dividends receivedPayment of cash dividendsSurrender of common sharesIssue of common shares | |||
Payment of cash dividendsIssue of common sharesCash dividends receivedSurrender of common sharesBank loan receivableRepayment of bank loan payable | |||
Cash at beginning of periodCash at end of periodCash flows from financing activitiesCash flows from investing activitiesCash flows from operating activitiesNet cash provided by financing activitiesNet cash provided by investing activitiesNet cash provided by operating activitiesNet cash used by financing activitiesNet cash used by investing activitiesNet cash used by operating activitiesNet decrease in cashNet increase in cash | $ |
Note X to the Statement of Cash Flows: During the year, the company purchased equipment costing $520 by paying $220 cash and issuing a $ bank loan payable.
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