Question

Gomez Corp. reported the following items 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 Purchased an investment in debt securities (long-term) for cash Sold equipment for cash, previously used in operations Paid cash for dividends Issued common stock for cash Dec 31, 2020 $ 30,000 25,000 10,000 100,000 80,000 11,000 15,000 8,000 Retired a 10-year bond payable by repaying the face value at maturity Sold investment in equity securities (held for one-year) Borrowed cash by signing a nine-month note payable Extended a loan to a customer for a building expansion 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. $ 6000

Answer 1

A B 1 Cash flow from investing activities: 2 Cash paid for purchase of investment in debt securities 3 Cash received from sale of equipment 4 Cash received from sale of equity securities 5 Cash paid for extending loan to a cutomer 6 Net cash from investing activities $ -30,000 $ 25,000 $ 11,000 $ -8,000 $ -2,000

B |-30000 A 1 Cash flow from investing activities: 2 Cash paid for purchase of investment in debt securities 3 Cash received from sale of equipment 4 Cash received from sale of equity securities 5 Cash paid for extending loan to a cutomer 6 Net cash from investing activities 25000 11000 -8000 =SUM(B2:35)