Question: C Gharpurey Inc had the following transactions during the year

C. Gharpurey, Inc., had the following transactions during the year. Classify each transaction as (O) an operating activity, (I) an investing activity, (F) a financing activity, or (X) a noncash transaction. Also note each transaction as a plus (+) for an inflow of cash, a minus (–) for an outflow of cash or zero (0) for neither an inflow nor outflow of cash.
1. Paid $ 4,500 interest.
2. Repaid the principal of a mortgage of $ 42,000.
3. Paid $ 5,000 for rent.
4. Paid $ 6,800 for computer equipment.
5. Sold equipment for $ 7,000.
6. Extended a customer’s note of $ 1,600.
7. Purchased a bond for $ 10,000.
8. Paid $ 4,000 of federal income taxes.
9. Received cash from customers of $ 73,000.


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  • CreatedOctober 21, 2014
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