Question

The following are data concerning cash received or paid from various transactions for Orange Peels Corporation: Sale of land $100,000 Sale of equipment 50,000 Issuance of common stock 70,000 Purchase of equipment 30,000 Payment of cash dividends 60,000How much is net cash provided by investing activities?

Answer 1

$120,000

Step-by-step explanation:

In this case, Cash generated from investing activities include, purchase and sale of equipment and sale of land

• Sale of land 100,000 (cash inflow)
• Sale of Equipment 50,000 (cash inflow)
• Purchase of Equipment -30,000 (cash outflow
• Cash generated from investing activities is $120,000

Issuance of common stock (70,000) & Payment of cash dividends (60,000) are part of Financing activities