Preparing the Cash Flow from Investing Activities Section Gomez Corp. reported the following items for the year ended December 31, 2020. Item Dec 31, 2020 Purchased an investment in debt securities (long-term) for cash $ 12,000 Sold equipment for cash, previously used in operations 10,000 Paid cash for dividends 4,000 Issued common stock for cash 40,000 Retired a 10-year bond payable by repaying the face value at maturity 32,000 Sold investment in equity securities (held for one-year) 4,400 Borrowed cash by signing a nine-month note payable 6,000 Extended a loan to a customer for a building expansion 3,200 Use a negative sign with your answer to indicate a cash outflow, if applicable. Calculate net cash from investing activities for the year ended December 31, 2020.
Preparing the Cash Flow from Investing Activities Section Gomez Corp. reported the following items for the year ended December 31, 2020. Item Dec 31, 2020 Purchased an investment in debt securities (long-term) for cash $ 12,000 Sold equipment for cash, previously used in operations 10,000 Paid cash for dividends 4,000 Issued common stock for cash 40,000 Retired a 10-year bond payable by repaying the face value at maturity 32,000 Sold investment in equity securities (held for one-year) 4,400 Borrowed cash by signing a nine-month note payable 6,000 Extended a loan to a customer for a building expansion 3,200 Use a negative sign with your answer to indicate a cash outflow, if applicable. Calculate net cash from investing activities for the year ended December 31, 2020.
Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
Chapter11: The Statement Of Cash Flows
Section: Chapter Questions
Problem 44E
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Preparing the Cash Flow from Investing Activities Section
Gomez Corp. reported the following items for the year ended December 31, 2020.
| Item | Dec 31, 2020 |
|---|---|
| Purchased an investment in debt securities (long-term) for cash | $ 12,000 |
| Sold equipment for cash, previously used in operations | 10,000 |
| Paid cash for dividends | 4,000 |
| Issued common stock for cash | 40,000 |
| Retired a 10-year bond payable by repaying the face value at maturity | 32,000 |
| Sold investment in equity securities (held for one-year) | 4,400 |
| Borrowed cash by signing a nine-month note payable | 6,000 |
| Extended a loan to a customer for a building expansion | 3,200 |
Use a negative sign with your answer to indicate a cash outflow , if applicable.
| Calculate net cash from investing activities for the year ended December 31, 2020. | Answer
|
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