The balance sheet data of Wheels €˜n Tires, Inc. at the end of 2014 and 2013 follow.

Equipment was purchased for $21,000 in exchange for common stock, par $21,000, during the year; all other equipment purchased was for cash. Land was sold for $31,500. Cash dividends of $7,000 were declared and paid during the year.

Instructions
Compute net cash provided (used) by:
(a) Operating activities.
(b) Investing activities.
(c) Financingactivities.

Transcribed Image Text:

2014 2013 Cash Accounts receivable (net) Merchandise inventory Prepaid expenses Equipment Accumulated depreciation-equipment Land $ 7,500 10,000 87,500 81,000 12,000 145,000 (45,000 (36,000) 50,000 $339,500 $349,500 82,000 86,000 9,000 170,000 30,000 Total assets $ 44,500 58,000 9,000 50,000 Accounts payable Accrued expenses Notes payable-bank, short-term Bonds payable Common stock, $1 par Retained earnings 11,000 160,000 72,500 $339,500 $349,500 20,000 181,000 83,000 Total liabilities and shareholders' equity