Question
Tigers Delivery Service had the following transactions during a recent year: 1. Issued 2,000 shares of Common Stock for a total of $18,000 in cash
Tigers Delivery Service had the following transactions during a recent year:
1. Issued 2,000 shares of Common Stock for a total of $18,000 in cash
2. Collected $39,000 in cash from operating sales
3. Paid rent, interest, and salary expenses totaling $19,500 in cash
4. At the end of the year, borrowed $20,000 in cash from States Bank on a two-year, 8% note
5. Purchased a land for $26,000 in cash
6. Sold a truck for $15,000 in cash
Question 1: Tigers operating cash flows for the year were:
A. A net cash inflow of $19,500.
B. A net cash outflow of $9,500.
C. A net cash inflow of $39,000.
D. A net cash outflow of $19,500.
E. A net cash inflow of $58,500.
Question 2: Which section in Tigers Statement of Cash Flows had a net cash outflow of $11,000?
A. Financing.
B. Investing.
C. Operating.
D. No section had a net cash outflow of $11,000.
Question 3: Tigers Financing Cash Flows were:
A. A net cash inflow of $38,000.
B. A net cash outflow of $18,000.
C. A net cash outflow of $38,000.
D. A net cash inflow of $18,000.
E. A net cash inflow of $20,000.
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