Nongshin Company reported the following income statements for the year ended on Dec. 31, 2021 and the balance sheets for 2021 and 2020.

Income Statement	Year 2021	Balance Sheet	Dec. 31, 2021	Dec. 31, 2020
Net Sales Revenue	$ 180,000	Cash	?	?
Cost of Goods Sold	($145,000)	Accounts Receivable	$25,000	$33,000
Gross Profit	$ 35,000	Merchandise Inventory	$18,000	$15,000
Depreciation Expense	($1,100)	Land	$130,000	$80,000
Other Operating Expenses	($2,600)	Equipment	$40,000	$102,000
Operating Income	$ 31,300	Accumulated Depreciation	($6,000)	($55,000)
Interest Expense	($500)	Accounts Payable	$9,200	$7,000
Loss from Disposal	($950)	Notes Payable (Long-term)	$45,000	$10,000
Income Tax Expense	($6,000)	Common Stock	?	?
Net Income	$ 23,850	Retained Earnings	$180,000	$125,000

Additional information:

• Nongshin purchased land for $15,000. Of this amount, $3,000 was paid in cash and $12,000 was paid by issuing a three-year note payable.
• Nongshin sold equipment and received cash. The equipment had a cost of $11,000 and accumulated depreciation of $9,400 before disposal. The loss from the disposal is $950.
• During 2021, there were no cash payments to retire notes payable.
• During 2021, Nongshin issued common stock for $4,000 cash. Nongshin has not issued any preferred stock.
• All dividends were paid in cash during 2021.
• All of Nongshin’s sales were credit sales in 2021.

1. Q28. Find Nongshin’s cash flow from investing activities in 2021.

   		($1,350)
   		($2,350)
   		($3,350)
   		($4,350)

Answer rating: 100% (QA)

27 Answer The OCF represents the real cash a company receive... View the full answer