2. During 2020, ABC company sold equipment for $120,000 cash, purchased inventory for $260,000 cash, and sold non- trading securities costing $60,000 at $25,000 gain in cash. In addition, and during 2020, the company acquired equipment with the value of $80,000 in exchange for ordinary shares. Calculate the net cash provided or used from investing activities in year 2020.

2. During 2020, ABC company sold equipment for $120,000 cash, purchased inventory for $260,000 cash, and sold non- trading securities costing $60,000 at $25,000 gain in cash. In addition, and during 2020, the company acquired equipment with the value of $80,000 in exchange for ordinary shares. Calculate the net cash provided or used from investing activities in year 2020.

Name: 2. During 2020, ABC company soldequipment for $120,000 cash, purchase
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Description: 2. During 2020, ABC company soldequipment for $120,000 cash, purchasedinventory for $260,000 cash, and sold non-trading securities costing $60,000 at$25,000 gain in cash. In addition, and during2020, the company acquired equipment withthe value of $

Intermediate Accounting: Reporting And Analysis

3rd Edition

ISBN:9781337788281

Author:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Publisher:James M. Wahlen, Jefferson P. Jones, Donald Pagach

Chapter21: The Statement Of Cash Flows

Section: Chapter Questions

Problem 15GI: Jordan Company recognized a 5,000 unrealized holding gain on investment in Starbuckss common stock...

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Jordan Company recognized a 5,000 unrealized holding gain on investment in Starbuckss common stock during 2019. The company classified as equity investments. How would this information be reported in a statement of cash flows prepared using the indirect method?
During 20X1, Craig Company had the following transactions: a. Purchased 300,000 of 10-year bonds issued by Makenzie Inc. b. Acquired land valued at 105,000 in exchange for machinery. c. Sold equipment with original cost of 810,000 for 495,000; accumulated depreciation taken on the equipment to the point of sale was 270,000. d. Purchased new machinery for 180,000. e. Purchased common stock in Lemmons Company for 82,500. Required: 1. Prepare the net cash from investing activities section of the statement of cash flows. 2. CONCEPTUAL CONNECTION Usually, the net cash from investing activities is negative. How can Craig cover this negative cash flow? What other information would you like to have to make this decision?
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