Question: Determining cash flow from investing activities On January 1, 2011, Webber Company had a balance of $278,000 in its Land account. During 2011, Webber sold

Determining cash flow from investing activities On January 1, 2011, Webber Company had a balance of $278,000 in its Land account. During 2011, Webber sold land that had cost $94,000 for $120,000 cash. The balance in the Land account on December 31, 2011, was $300,000.

Required

a. Determine the cash outflow for the purchase of land during 2011.

b. Prepare the investing activities section of the 2011 statement of cash fl o w s .

Step by Step Solution

★★★★★

3.44 Rating (167 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock

a Reconciliation of Land Account Beginning balance 278000 Increase due to purchasing land 116000 ... View full answer

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Document Format (1 attachment)

67-B-M-A-S-C-F (275).docx

120 KBs Word File

Students Have Also Explored These Related Managerial Accounting Questions!

machine 1 will result inn annual cost savings (increased profit) of $50,000 and costs $175,000. the useful life of machine 1 is 6 years. the cost of capital is estimated 12%. machine 2 costs $212,011...

Determining cash flows from investing activities On January 1, 2011, Duncan Company had a balance of $59,600 in its Delivery Equipment account. During 2011, Duncan purchased delivery equipment that...

On January 1, 2013, Shelton Company had a balance of $325,000 in its Land account. During 2013, Shelton sold land that had cost $106,500 for $132,000 cash. The balance in the Land account on December...

On January 1, 2013, Poole Company had a balance of $178,000 in its Land account. During 2013, Poole sold land that had cost $71,000 for $95,000 cash. The balance in the Land account on December 31,...

Exercise 12-8A Determining cash flow from investing activities On January 1, 2011. Webber Company had a balance of $278,000 in its Land account. During 2011. Webber sold land that had cost $94,000...

Determining cash flow from investing activities On January 1, 2011, Oswalt Company had a balance of $156,000 in its Land account. During 2011, Oswalt sold land that had cost $66,000 for $98,000 cash....

Determining cash flow from investing activities On January 1, 2011, Artex Company had a balance of $65,600 in its Office Equipment account. During 2011, Artex purchased office equipment that cost...

EXERCISE 12-8B Exercise 12-8B Determining cash flow from investing activities On January 1, Year 1, Poole Company had a balance of $178.000 in its Land account. During Year I, Poole sold land that...

Please Help ASAP Exercise 14-8A (Algo) Determining cash flow from investing activities LO 14-3 On January 1, Year 1, Fanning Company had a balance of $269,500 in its Land account. During Year 1,...

2 Exercise 14-8A (Algo) Determining cash flow from investing activities LO 14-3 3.75 points On January 1, Year 1, Campbell Company had a balance of $267,500 in its Land account. During Year 1,...

Exercise 14-8A (Algo) Determining cash flow from investing activities LO 14-3 On January 1, Year 1. Finch Company had a balance of $276,500 in its Land account. During Year 1. Finch sold land that...

You will be needing the following information from the previous rounds: From the previous rounds: Your coal plant capacity is 600 MW, your nuclear plant 1000 MW, and your wind plant 1000 MW. You have...

Consider a problem with the hypothesis test H0: = 5 H1: > 5 and the following decision rule: Compute the probability of Type II error and the power for the following true population means. a. =...

Evaluate x 3 x 2 4 x 4 d x x 2 2 1 2 l n | x 2 | 8 x 2 C x 2 2 - 4 x 8 x 2 C x 2 - 4 x 1 2 l n | x 2 | 8 x 2 C x 2 2 - 4 x 1 2 l n | x 2 | 8 x 2 C

Lobsters are plentiful and easy to catch in August but scarce and difficult to catch in November. In addition, vacationers shift the demand for lobsters further to the right in August than in any...

Jackplum Vineyards, whose fiscal year begins on November 1, has just completed a record-breaking year producing and selling wine. Its inventory account balances on October 31 of this year were...

Boston Railroad decided to use the high-low method and operating data from the past six months to estimate the fixed and variable components of transportation costs. The activity base used by Boston...

On October 1, 2016, Ball Company issued 9% bonds dated October 1, 2016, with a face amount of $200,000. The bonds mature in 10 years. Interest is paid semiannually on March 31 and September 30. The...

Vogel Inc. manufactures memory chips for electronic toys within a relevant range of 25,000 to 100,000 memory chips per year. Within this range, the following partially completed manufacturing cost...

Suppose the price of beef rises by 10 percent and the quantity demanded of beef falls by 20 percent. We can conclude that (A) demand for beef is price elastic and consumer spending on beef is...

The following information pertains to Stanley Company for 2016: Beginning inventory ..... 90 units @ $15 Units purchased ......320 units @ $19 Ending inventory consisted of 40 units. Stanley sold 370...

Scott Sales had the following transactions for jackets in 2016, its first year of operations: During the year, Scott Sales sold 830 jackets for $40 each. Required a. Compute the amount of ending...

The following information pertains to the inventory of the Bryant Company: During the year, Bryant sold 3,500 units of inventory at $50 per unit and incurred $21,000 of operating expenses. Bryant...

Magiclean Corporation is considering the acquisition of Dustvac Company. Dustvac has a capital structure consisting of $5 million (market value) of 11% bonds and $10 million (market value) of common...

A property is available for sale that could normally be financed with a fully amortizing $80,000 loan at a 10 percent rate with monthly payments over a 25-year term. Payments would be $726.96 per...

Advocates of the public good - free rider justification for government welfare assistance argue that A . the reduction or elimination of poverty is a nonexcludable public good B . government is...