Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The following selected account balances were taken from ABC Company's accounting recordsduring 2018: January 1, 2018 December 31, 2018 Inventory 41,000 57,000 Accounts payable 46,000

The following selected account balances were taken from ABC Company's accounting recordsduring 2018: January 1, 2018 December 31, 2018 Inventory 41,000 57,000 Accounts payable 46,000 69,000 Long-term notes payable 130,000 165,000 Income tax payable 11,000 7,000 Investments 89,000 68,000 Accounts receivable 83,000 77,000 Land 60,000 89,000 Common stock 100,000 150,000 Retained earnings 29,000 41,000 The following information was taken from ABC Company's 2018 income statement: Sales revenue $415,000 Cost of goods sold 373,000 Gain on sale of investments 11,000 Income tax expense 16,000 Net income $ 37,000
Calculate the net cash flow from investing activities for 2018. If your answer isnegative, place a minus sign in front of your answer with no spaces in between(e.g., -1234). Do not use decimals in your answer.

Im getting -39,000$ as my answer for the net cash flow from investment activities in 2018. Land asset calculation:68,000 (ending) - 89,000 (beg.) = -21,000 + 11,000 (gain of sale of land) = -39,000. Is this correct?

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Introduction To Financial Accounting

Authors: Charles T Horngren, John A Elliott

9th Edition

0131479725, 978-0131479722

More Books

Students also viewed these Accounting questions

Question

USING THE FOLLOWING DATA

Answered: 1 week ago

Question

2. Develop a good and lasting relationship

Answered: 1 week ago

Question

1. Avoid conflicts in the relationship

Answered: 1 week ago