What effect does depreciation expense have on the Statement of Cash Flows (indirect method)?
Which of the following is an investing activity?
Which of the following could not appear on the statement of cash flows in the operating activity section as an adjustment to net income (indirect method)?
Phoenix Co. sold an unused building for 187,000. The building's book value on the date of sale was 182,000. How will this transaction appear on a statement of cash flows prepared using the indirect method.
Maverick Co. sold equipment with a cost of $30,000 and accumulated depreciation of $12,000 for an amount that resulted in a gain of $4,000. What amount should Maverick report on the statement of cash flows as "proceeds from sale of plant assets"?
Given the following information, compute the cash flow from investing and financing activities.
|Purchase of treasury stock||$40,000|
|Proceeds from sale of equipment||25,000|
|Interest expense on borrowing||3,000|
|Issuance of bonds payable||52,500|
|Payment of dividends||10,000|
|Gain on sale of equipment||2,000|
|Issuance of common stock||20,000|
The Murray Company reported the following income statement for the current year and two years of balance sheet information.
|Gain on sale of equipment||6,000|
|Cost of Goods Sold||285,000|
|Year 2||Year 1|
|Long-term Notes Payable||53,000||100,000|
|Total Liabilities + SHE||289,000||296,000|
Equipment with a book value of 10,000 was sold for cash. Depreciation expense on the building was 10,000. The remainder of depreciation expense was attributable to equipment.
Q1: The amount of cash generated from operations this year was:
Q2: The cash payment for dividends was:
Q3: The cash inflow (outflow) from investing activities was:
Q4: The cash inflow (outflow) from financing activities was: