2. 3. Identify the following transactions according to where they would be prese
ID: 2445277 • Letter: 2
Question
2.
3.
Identify the following transactions according to where they would be presented on the statement of cash flows. Enter the number corresponding to your answer in the box provided. Do not place a period after the number.
123
collection of accounts receivable from sales to customers
123
proceeds from the sale of common stock
123
proceeds from the sale of land
123
purchase of a copyright for cash
operating activity
investing activity
financing activity
123
collection of accounts receivable from sales to customers
123
proceeds from the sale of common stock
123
proceeds from the sale of land
123
purchase of a copyright for cash
Explanation / Answer
1. Calculation of the amount of cash paid to suppliers for purchase of inventory
3,00,000=59,000+Purchase+Direct Expenses-42000
3,00,000-59,000+42,000=Purchase
2,83,000=Purchase
Note:Assume that Salary is not a direct Expenses
Cash Paid to Supplier =2,83,000
2.Net Cash Flow from financing Activities
Net proceeds from Common Stock=1,80,000-1,00,000
=80,000
3.(a) Operating Actvities
(b) Financing Activities
(c) Investing Activities
(d) Invsting Activities
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.