Statement of Cash Flows Assume the following information: Item Amount Item Amount Beginning cash and cash equivalents $ 110,000 Gain on sale of equipment $ (11,000) Additions to plant and equipment $ (180,000) Increase in accounts receivable $ (11,000) Depreciation $ 40,000 Increase in accounts payable $ 5,000 Cash dividends $ (25,000) Proceeds from sale of equipment $ 70,000 Additions to long-term investments $ (60,000) Issuance of bonds payable $ 80,000 Decrease in inventory $ 21,000 Decrease in income taxes payable $ (4,000) Increase in accrued liabilities $ 7,000 Decrease in prepaid expenses $ 5,000 Issuance of common stock $ 30,000 Net income $ 115,000 During the year, the company did not sell any long-term investments, retire any bonds payable, or repurchase any common stock. Required: Calculate the net cash provided by operating activities. Calculate the net cash provided by (used in) investing activities. Calculate the net cash provided by (used in) financing activities. Calculate the cash and cash equivalents ending balance.

Answer rating: 100% (QA)

To calculate the net cash provided by operating activities we start with the net income and adjust for noncash expenses depreciation and changes in wo... View the full answer