Post-closing trial balance data and other financial data for Treble, Inc., as of December 31, 2016 and
Question:
INSTRUCTIONS
Prepare a statement of cash flows for 2016. Additional information for the year follows:
a. Sold an unused lot for $20,000 in cash; it originally cost $10,000.
b. Constructed a new building for $150,000, of which $20,000 was paid in cash and $130,000 is a long-term mortgage payable.
c. Issued $20,000 of 10 percent bonds payable, maturing in 2021, for cash at par.
d. Sold common stock at par $25,000 in cash.
e. Had net income of $50,000 after income taxes.
f. Paid common stock dividends of $20,000 in cash.
g. Amortized organization costs of $1,000.
h. The short-term note payable resulted from operating activities, not financing.
Analyze:
Did operating, investing, or financing activities generate the greatest net inflow of cash?
Step by Step Answer:
College Accounting Chapters 1-30
ISBN: 978-0077862398
14th edition
Authors: John Price, M. David Haddock, Michael Farina