The date below refers to Money Ltd. For the year ended December 31,2011.
For each item, identify both the dollar amount and its classification-that is, whether it
would appear as a positive or a negative adjustment to net income in the calculation of
cash flow from operations(using the indirect method),or as some other inflow or outflow
$15,000 cash dividend; paid $12,000 during the year.
Sold, for $90,000 cash, land that had cost $75,000 two years earlier.
Sold for cash 2,000 shares for $6 a share.
Bought machinery for $24,000 in exchange for a note due in 18 months.
Long-term notes payable
Bought a computer that had a fair value of $35,000 by giving in exchange real
estate that had cost $15,000 in an earlier period.
Gain on sale
Equipment amortization, $18,000.