Question

Use the following information to determine this company's cash flows from financing activities.

A. Net income was $473,000.
B. Issued common stock for $74,000 cash.
C. Paid cash dividend of $13,000.
D. Paid $125,000 cash to settle a note payable at its $125,000 maturity value.
E. Paid $119,000 cash to acquire its treasury stock.
F. Purchased equipment for $86,000 cash.
Use the above information to determine this company's cash flows from financing activities.

Answer 1

The answer is ($183,000)

Step-by-step explanation:

This section deals with cash flows used to fund(e.g borrowing and repayment of loans) the business

Statement of cash flow(Partial)

Issued common stock for cash----------------------------------------------------------$74,000

Paid cash dividend-------------- ($13,000)

Paid cash to settle a note payable -----------------------------------------------($125,000)

Paid cash to acquire its treasury stock----------------------------------------($119,000)

Net cash flow from financing activities-----------------------------------------($183,000)