Question

Pina Colada Corp. had the following transactions during 2022:

1. Issued $302500 of par value common stock for cash.
2. Recorded and paid wages expense of $145200.
3. Acquired land by issuing common stock of par value $121000.
4. Declared and paid a cash dividend of $24200.
5. Sold a long-term investment (cost $7260) for cash of $7260.
6. Recorded cash sales of $968000.
7. Bought inventory for cash of $387200.
8. Acquired an investment in Zynga stock for cash of $50820.
9. Converted bonds payable to common stock in the amount of $1210000.
10. Repaid a 6-year note payable in the amount of $532400.

What is the net cash provided by financing activities?

A. $1464100.
B. $955900
C. $278300.
D. $(254100).

Answer 1

D. $(254100)

Step-by-step explanation:

CASH FLOW FROM FINANCING ACTIVITIES:

Cash Receipts From:

1. Issuance of Stock $302,500

Cash Paid For:

4. Dividend $(24,200)

10. Repayment of Loan $(532,400)

Net Cash Flow from Financing Activities $(254,100)

2. It is Operational Activity.

3. It is Investing Activity.

5. It is Investing Activity.

6. It is Operational Activity.

7. It is Operational Activity.

8. It is Investing Activity.

9. It is Investing Activity.