Refer to the information in RE21-6. Prepare the financing activities section of Tifton & Co.’s statement of cash flows.
In exercise
In the current year, Harrisburg Corporation had net income of $35,000, a $9,000 decrease in accounts receivable, a $7,000 increase in inventory, an $8,000 increase in salaries payable, a $13,000 decrease in accounts payable, and $10,000 in depreciation expense. Using the indirect method, prepare the operating activities section of its statement of cash flows based on this information.
Tifton 8c Co. had the following cash transactions during the current year:
Proceeds from issuance of common stock ...........$400,000
Payment of dividends Payment for purchase of land ....... 100,000
Proceeds from issuance of bonds payable ........... 75,000
Payment for purchase of treasury stock ............ 300,000
Proceeds from sale of equipment ................ 100,000
Payment for purchase of building ............... 500,000