Question

Indicate whether each transaction is an operating activity, investing activity, financing activity, or noncash investing and financing activity.

(a) Issued $50,000 par value common stock for cash.
(b) Purchased a machine for $30,000, giving a long-term note in exchange.
(c) Issued $200,000 par value common stock upon conversion of bonds having a face value of $200,000.
(d) Declared and paid a cash dividend of $13,000.(e) Sold a long-term investment with a cost of $15,000 for $15,000 cash.
(f) Collected $16,000 from sale of goods.(g) Paid $18,000 to suppliers.

Answer 1

A. Financing activities

B. Noncash investing and financing activities

C. Noncash investing and financing activities

D. Financing activities

E. Investing Activities

F. Operating Activities

G. Operating Activities

Step-by-step explanation:

To Indicate whether each transaction is an OPERATING ACTIVITY, INVESTING ACTIVITY, FINANCING ACTIVITY, or NONCASH INVESTING and FINANCING ACTIVITY.

A. Based on the information given the transaction is a FINANCING ACTIVITIES

B. Based on the information given the transaction is a NONCASH INVESTING and FINANCING ACTIVITIES

C. Based on the information given the transaction is a NONCASH INVESTING and FINANCING ACTIVITIES

D. Based on the information given the transaction is a FINANCING ACTIVITIES

E.Based on the information given the transaction is a INVESTING ACTIVITIES

F.Based on the information given the transaction is an OPERATING ACTIVITIES

G. Based on the information given the transaction is an OPERATING ACTIVITIES