Question
The following selected account balances were taken from Buckeye Company's general ledger at January 1, 2015 and December 31, 2015: January 1, 2015 December 31,
The following selected account balances were taken from Buckeye Company's general ledger at January 1, 2015 and December 31, 2015:
January 1, 2015 December 31, 2015
Accounts receivable 42,000 36,000
Inventory 25,000 28,000
Accounts payable 35,000 31,000
Salaries payable 1,000 2,000
Investments 34,000 48,000
Land 60,000 80,000
Mortgage payable 100,000 50,000
Common stock 110,000 130,000
Retained earnings 20,000 38,000
The following information was taken from Buckeye Company's 2015 income statement:
Sales revenue $420,000
Cost of goods sold $300,000
Salaries expense $90,000
Gain on sale of land $2,000
Net income $ 32,000
It is known that during 2015 Buckeye Company sold land having a cost of $3,000.
1.) Calculate the amount of cash paid to employees for salaries during 2015.
2.)Calculate the amount of cash paid to suppliers for purchases of inventory during 2015.
3.)Calculate the net cash flow from financing activites for 2015.
4.) Calculate the cash collected from customers during 2015.
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