Statement of cash flows : It is one of the financial statement that shows the cash and cash equivalents of a company for a particular period. It determines the net changes in cash through reporting the sources and uses of cash due to the operating, investing, and financing activities of a company. To Show : The effect of the given transactions whether is a cash receipt or cash payment.

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Chapter 14, Problem 14.2EX

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Statement of cash flows: It is one of the financial statement that shows the cash and cash equivalents of a company for a particular period. It determines the net changes in cash through reporting the sources and uses of cash due to the operating, investing, and financing activities of a company.

To Show: The effect of the given transactions whether is a cash receipt or cash payment.

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Effect of Transactions on Cash Flows State the effect (cash receipt or payment and amount) of each of the following transactions, considered individually, on cash flows: a. Retired $310,000 of bonds, on which there was $3,100 of unamortized discount, for $322,000. b. Sold 7,000 shares of $30 par common stock for $59 per share. c. Sold equipment with a book value of $48,700 for $70,100. d. Purchased land for $406,000 cash. e. Purchased a building by paying $51,000 cash and issuing a $110,000 mortgage note payable. f. Sold a new issue of $180,000 of bonds at 99. g. Purchased 2,900 shares of $25 par common stock as treasury stock at $46 per share. h. Paid dividends of $2.00 per share. There were 25,000 shares issued and 4,000 shares of treasury stock. a. b. C. d. e. f. 9. h. Effect Amount

Effect of Transactions on Cash Flows State the effect (cash receipt or payment and amount) of each of the following transactions, considered individually, on cash flows: a. Retired $220,000 of bonds, on which there was $2,200 of unamortized discount, for $229,000. b. Sold 7,000 shares of $15 par common stock for $30 per share. c. Sold equipment with a book value of $51,800 for $74,600. d. Purchased land for $362,000 cash. e. Purchased a building by paying $75,000 cash and issuing a $120,000 mortgage note payable. f. Sold a new issue of $150,000 of bonds at 98. g. Purchased 4,400 shares of $15 par common stock as treasury stock at $28 per share. h. Paid dividends of $1.60 per share. There were 34,000 shares issued and 5,000 shares of treasury stock. Effect Amount a. b. C. d. e. f. g. h.

Effect of Transactions on Cash Flows State the effect (cash receipt or payment and amount) of each of the following transactions, considered individually, on cash flows: a. Retired $220,000 of bonds, on which there was $2,200 of unamortized discount, for $229,000. b. Sold 12,000 shares of $15 par common stock for $23 per share. c. Sold equipment with a book value of $47,400 for $68,300. d. Purchased land for $436,000 cash. e. Purchased a building by paying $58,000 cash and issuing a $110,000 mortgage note payable. f. Sold a new issue of $240,000 of bonds at 97. g. Purchased 3,300 shares of $25 par common stock as treasury stock at $48 per share. h. Paid dividends of $2.50 per share. There were 28,000 shares issued and 4,000 shares of treasury stock. a. b. C. d. e. f. Effect Cash payment Cash receipt Cash receipt Cash payment ✓ Cash payment - ✓ Cash receipt ✔ ✓ ✓ g. Cash payment -✔ h. Cash payment Amount 229,000 ✓ 161,000 X 100000