Question
The following information provides balance sheet data for Weber Company at the end of 2020 and 2019 follow: 2020 2019 Cash $ 100,000 $ 140,000
The following information provides balance sheet data for Weber Company at the end of 2020 and 2019 follow:
|
| 2020 | 2019 |
Cash |
| $ 100,000 | $ 140,000 |
Accounts receivable (net) |
| 240,000 | 180,000 |
Merchandise inventory |
| 280,000 | 180,000 |
Prepaid expenses |
| 40,000 | 100,000 |
Buildings and equipment |
| 360,000 | 300,000 |
Accumulated depreciationbuildings and equipment |
| (72,000) | (32,000) |
Land |
| 360,000 | 160,000 |
| Totals | $1,308,000 | $1,028,000 |
Accounts payable |
| $272,000 | $220,000 |
Accrued expenses |
| 48,000 | 72,000 |
Notes payablebank, long-term |
|
| 160,000 |
Mortgage payable | 120,000 |
|
Common stock, $10 par |
| 936,000 | 636,000 |
Retained earnings (deficit) |
| 32,000 | (60,000) |
|
| $1,308,000 | $1,028,000 |
Land was acquired for $200,000 in exchange for common stock, par $200,000, during the year; all equipment purchased was for cash. Equipment costing $20,000 was sold for $8,000; book value of the equipment was $16,000 and the loss was reported as an ordinary item in net income. Cash dividends of $40,000 were charged to retained earnings and paid during the year; the transfer of net income to retained earnings was the only other entry in the Retained Earnings account. In the statement of cash flows for the year ended December 31, 2020, for Weber Company:
The net cash provided (used) by investing activities was
Question 23 options:
|
|
a) | $(272,000). |
|
|
b) | $(72,000). |
|
|
c) | $52,000. |
|
|
d) | $(80,000). |
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