The following data for Ali’s Restaurants Cash Flow (in millions) to answer the questions 4,5,&6 below: Cash received from: Customers OR1,800 Interest on investments 200 Sale of land 100 Issuance of ordinary shares 600 Issuance of debt securities 2,000 Cash paid for: Interest on debt OR 300 Income tax 80 Debt principal reduction 1,500 Purchase of equipment 4,000 Purchase of inventory 1,000 Dividends on ordinary shares 200 Operating expenses 500 Assuming that interest received and paid are classified as operating cash flows, and dividends paid are classified as financing cash flows, Ali’s would report net cash inflows (outflows) from operating activities in the amount of:
The following data for Ali’s Restaurants Cash Flow (in millions) to answer the questions 4,5,&6 below: Cash received from: Customers OR1,800 Interest on investments 200 Sale of land 100 Issuance of ordinary shares 600 Issuance of debt securities 2,000 Cash paid for: Interest on debt OR 300 Income tax 80 Debt principal reduction 1,500 Purchase of equipment 4,000 Purchase of inventory 1,000 Dividends on ordinary shares 200 Operating expenses 500 Assuming that interest received and paid are classified as operating cash flows, and dividends paid are classified as financing cash flows, Ali’s would report net cash inflows (outflows) from operating activities in the amount of:
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 13MCQ
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The following data for Ali’s Restaurants Cash Flow (in millions) to answer the questions 4,5,&6 below:
Cash received from: |
|
Customers |
OR1,800 |
Interest on investments |
200 |
Sale of land |
100 |
Issuance of ordinary shares |
600 |
Issuance of debt securities |
2,000 |
|
|
Cash paid for: |
|
Interest on debt |
OR 300 |
Income tax |
80 |
Debt principal reduction |
1,500 |
Purchase of equipment |
4,000 |
Purchase of inventory |
1,000 |
Dividends on ordinary shares |
200 |
Operating expenses |
500 |
Assuming that interest received and paid are classified as operating
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