Question
The warehouse equipment for Ivory International has a book value of $100,000 and the company incurred a loss of $10,000 when selling it for cash.
The warehouse equipment for Ivory International has a book value of $100,000 and the company incurred a loss of $10,000 when selling it for cash. Determine the amount that needs to be reported in the cash flows from investing activities in the statement of cash flows.
a. 100,000
b. 110,000
c. 90,000
d. 10,000
Brian Trading Company reported in 2014 a net income of $400,000, depreciation expense was $20,000, accounts receivable account decreased by $20,000, inventory account decreased by $20,000, prepaid expenses increased by $10,000 and accounts payable increased by $10,000. Determine the amount of cash provided by operating activities.
a. 480,000
b. 460,000
c. 440,000
d. 430,000
Nunez Company purchased treasury stock for $20,000 in 2014. In the same year, the company paid dividends of $15,000 and issued bonds payable for proceeds of $500,000. Determine the cash flows from financing activities for 2014.
a. 465,000 net cash inflow
b. 465,000 net cash outflow
c. 485,000 net cash inflow
d. 485,000 net cash outflow
Beginning balance accounts receivable for Universal Enterprises is $80,000 and the ending balance is $95,000. The company reported net income in the amount of $350,000. Determine the amount of the cash flows from operating activities assuming those are the only items in that section.
a. 350,000
b. 365,000
c. 325,000
d. 335,000
Beginning balance accounts receivable for Universal Enterprises is $120,000 and the ending balance is $80,000. The company reported net income in the amount of $300,000. Determine the amount of the cash flows from operating activities assuming those are the only items in that section.
a. 180,000
b. 260,000
c. 200,000
d. 340,000
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