Question

1) Cash is acquired through issuance of additional Common Stock Merdiauise is suuCas 3) 4) 5) 6) Ty 8) 9) 10) A fixed asset is sold for less than the book value A fixed asset is sold for more than the book value Merchandise is sold on Credit Payment is made to trade creditors for previous purchases A cash dividend is declared and paid Short term notes recevable are sold at discount Marketable Security are sold below cost Current o perating exponses are paid Short term promissory notes are issued to trade creditors in exchange for past due accounts payable 12) 10-years notes are issued to pay of accounts payable 13) A fully depreciated asset is retired 14) Accounts receivable are collected 15) Equipment is purchased with short term notes 16 Merchandise is purchased on Credit

Need Impact of the Cash Flows for the above questions (Financing, Operations, Investment)? Thank You!

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Answer #1
Case Effect on Cash flow Plus / Minus
1 Financing Activities Plus
2 Operating Activities Plus
3 Investing Activities Plus
4 Investing Activities Plus
5 Operating Activities Minus
6 Operating Activities Minus
7 Financing Activities Minus
8 Financing Activities Plus
9 Investing Activities Plus
10 Operating Activities Minus
11 operating Activities/Financing Activities minus / plus
12 operating Activities/Financing Activities minus / plus
13 No effect
14 Operating Activities Plus
15 Investing Activities/Financing Activities minus / plus
16 No effect
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