Question

Below are cash transactions for Goldman Incorporated, which provides consulting services related to mining of precious metals.

a. Cash used for purchase of office supplies, $1,450.
b. Cash provided from consulting to customers, $41,100.
c. Cash used for purchase of mining equipment, $64,000.
d. Cash provided from long-term borrowing, $51,000.
e. Cash used for payment of employee salaries, $23,100.
f. Cash used for payment of office rent, $11,100.
g. Cash provided from sale of equipment purchased in c. above, $21,600.
h. Cash used to repay a portion of the long-term borrowing in d. above, $35,500.
i. Cash used to pay office utilities, $3,400.
j. Purchase of company vehicle, paying $9,100 cash and borrowing $14,100
Required:
Calculate cash flows from investing activities.

Answer 1

-$51,500

Step-by-step explanation:

Calculation for cash flows from investing activities

Cash used for purchasing mining equipment -64,000

Cash provided from sale of equipment $21,600

Purchase of company vehicle -$9,100

Cash used by investing activities -$51,500

Therefore the cash flows from investing activities will be -$51,500