3. What amount should be reported as cash balance atyear-end?a. 3,400,000b. 1,600,000c. 1,400,000d. 2,400,000 Problem 10-2 (IAA)Star Company provided the following data for thepreparation of statement of cash flows for the current year:Cash balance, beginningCash paid to purchase inventory.1,500,0007,800,0002,500,000Cash received from sale of trading securitiesCash paid for interest-on bank loan450,0001,000,000Cash paid to repay principal amount of bank loanCash collected from customers10,000,0001,200,000Cash received from issuance of ordinary sharesCash paid for dividend2,000,000Cash paid for income taxes1,350,000Cash paid to purchase trading securities1,000,000

Statement of cash flow (CFS) refers to a financial statement of the company which shows the flows of…

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3. What amount should be reported as cash balance at year-end? a. 3,400,000 b. 1,600,000 c. 1,400,000 d. 2,400,000

Financial Accounting: The Impact on Decision Makers

10th Edition

ISBN:9781305654174

Author:Gary A. Porter, Curtis L. Norton

Publisher:Gary A. Porter, Curtis L. Norton

Chapter7: Receivables And Investments

Section: Chapter Questions

Problem 7.17E

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Question

3. What amount should be reported as cash balance at
year-end?
a. 3,400,000
b. 1,600,000
c. 1,400,000
d. 2,400,000

Problem 10-2 (IAA)
Star Company provided the following data for the
preparation of statement of cash flows for the current year:
Cash balance, beginning
Cash paid to purchase inventory.
1,500,000
7,800,000
2,500,000
Cash received from sale of trading securities
Cash paid for interest-on bank loan
450,000
1,000,000
Cash paid to repay principal amount of bank loan
Cash collected from customers
10,000,000
1,200,000
Cash received from issuance of ordinary shares
Cash paid for dividend
2,000,000
Cash paid for income taxes
1,350,000
Cash paid to purchase trading securities
1,000,000

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