Question

USE THE FINANCIAL DATA BELOW TO ANSWER QUESTIONS 2-8 Categ 2013 16,200 2014 Accounts payable Accounts receivable Accruals Cash 48,60044,500 24,30016,200 81,000 98,000 64,80081,000 56,70064,800 4,050 121,500145,800 8,100 40,50060,800 81,00089,100 101,500 121,500 44,80037,200 16,200 40,500 60,800 105,300121,500 6,480 Common Stock COGS Depreciation expense Gross fixed assets 0 Interest expense 6,400 Inventories Long-term debt Net fixed assets Notes payable Operating expenses (excl.depr Retained earnings Sales 12,100 4,860 Taxes The cash flow from financing in 2014 was $-- 1) 9,630 2) 11,530 3) 13,730 4) 15,130 5) 17,330

Show excel formula I can copy and paste.

Answer 1

Answer: Option-(4): $15,130 Reason Cash realized from sale of common stock $16,200 [$81,000 $64,800] Cash realized from new long-term debt $8,100 [$89,100 - $81,000] Cash used to retire note payable Dividends declared during the year Net Cash provided by financing activities $15,130 $7,600 [$37,200 $A4,800] $1,570 [Ref: Workings] Workings: 2014 $121,500 Therefore, Sales Costs and Expenses: COGS Op. Expenses excl. Dep Depreciation Expense Interest expense Taxes $64,800 $16,200 S40,500 $21,870 $60,800 $1,570 Retained earnings, 2013 Add: Net income for 2014 S4,050 Less: Retained earnings, 2014 8,100 Dividend during the year 2014 $6,480 $21,870 Net income