Solution to QS-Chapter 12 - receivable in exchange for...

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Exercise 12-1 (25 minutes) Statement of Cash Flows Noncash Operating Activities Investing Activities Financing Activities Investing & Financing Activities Not Reported on Statement or in Notes a. Declared and paid a cash dividend X b. Recorded depreciation expense X c. Paid cash to settle long-term note payable X d. Prepaid expenses increased in the year X e. Accounts receivable decreased in the year X f. Purchased land by issuing common stock X g. Paid cash to purchase inventory X h. Sold equipment for cash, yielding a loss X X i. Accounts payable decreased in the year X j. Income taxes payable increased in the year X
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Exercise 12-2 B (15 minutes) Statement of Cash Flows Noncash Operating Activities Investing Activities Financing Activities Investing & Financing Activities Not Reported on Statement or in Notes a. Retired long-term notes payable by issuing stock X b. Paid cash toward accounts payable X c. Sold inventory for cash X d. Paid cash dividend that was declared in a prior period X e. Accepted six-month note
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Unformatted text preview: receivable in exchange for plant assets X f. Recorded depreciation expense X g. Paid cash to acquire treasury stock X h. Collected cash from sales X i. Borrowed cash from bank by signing a 9-month note payable X j. Paid cash to purchase a patent X Exercise 12-8 (10 minutes) Cash flows from investing activities Cash received from the sale of equipment* $ 51,300 Cash paid for new truck (89,000) Cash received from the sale of land 198,000 Cash received from the sale of long-term investments 60,800 Net cash provided by investing activities $221,100 * Cash received from sale of equipment = Book value - loss = $65,300 - $14,000 = $51,300 Exercise 12-9 (10 minutes) Cash flows from financing activities Sale of common stock $ 64,000 Paid cash dividend (14,600) Repaid note payable (50,000) Purchased treasury stock (12,000 ) Net cash used by financing activities $(12,600)...
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