Ms. Smith, owner of Smith Dental Supply Company, and has been in business for one year. She

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Ms. Smith, owner of Smith Dental Supply Company, and has been in business for one year. She applied for a $150,000 loan from her bank.

Assume she is successful in getting the loan. How will this loan affect her statement of cash flows.

$100,000 for equipment.
$ 50,000 for expenses and bills.

Assume she is successful in getting $150,000 through issuance of stock. How will this transaction affect her statement of cash flows

$100,000 for equipment
$ 50,000 for expenses and bills.
Does it make a difference in the statement of cash flows if she finances through a bank loan or through issuance of stock

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Advanced Accounting

ISBN: 978-1118037911

1st Canadian Edition

Authors: Gail Fayerman

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Posted Date: Apr 23, 2024 02:51 PM

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Ms. Smith, owner of Smith Dental Supply Company, and has been in business for one year. She

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The loan and issuance of stock will have different impacts on Ms Smiths statement of cash flows Lets analyze each scenario separately 1 Loan from the ... View the full answer

Advanced Accounting

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