Indicate how each event affects the elements of the financial statements. Use the letter"T' to indicate increase, the letter "D" to indicate decrease, and the letters "NA" toindicate no effect on net income In the cash flow column, use the letter "I" to indicatecash inflow, the letter "D" to indicate cash outflow and the letters "NA" to indicate noeffect on cash flows. 3) Howard Co. declared and paid a $1.50 per share cash dividend on the 20,000 sharesof its common stock.Cash Flow ActivitiesInvestingNetIncomeOperatingFinancing

Net Income Operating Investing Financing D NA NA D CASH FLOW ACTIVITIES

Answered: 3) Howard Co. declared and paid a $1.50…

3) Howard Co. declared and paid a $1.50 per share cash dividend on the 20,000 shares of its common stock. Net Cash Flow Activities Income Operating Investing Financing

Managerial Accounting: The Cornerstone of Business Decision-Making

7th Edition

ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter14: Statement Of Cash Flows

Section: Chapter Questions

Problem 34E

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Concept explainers

Stockholder's Equity

The stockholders’ equity (often referred to as the book value of the company) is the number of assets available to the stockholder after its entire liabilities is paid off. The stockholders’ equity is also sometimes referred to as owner's equity. The stockholders’ equity or book value generally includes common stock, treasury stock retained earnings. It is an indicator of a company's financial strength and is an important item on the company's balance sheet.

Question

Indicate how each event affects the elements of the financial statements. Use the letter
"T' to indicate increase, the letter "D" to indicate decrease, and the letters "NA" to
indicate no effect on net income In the cash flow column, use the letter "I" to indicate
cash inflow, the letter "D" to indicate cash outflow and the letters "NA" to indicate no
effect on cash flows.

3) Howard Co. declared and paid a $1.50 per share cash dividend on the 20,000 shares
of its common stock.
Cash Flow Activities
Investing
Net
Income
Operating
Financing

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