ch05-LectureProblems-AFM101w2012

ch05-LectureProblems-AFM101w2012 - Chapter 5 Exercise 1 (1...

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Chapter 5 – Exercise 1 (1 of 2) Complete the first two columns in the following table by indicating: 1. Whether each transaction would appear in the operating activities (O), investing activities (I), or financing activities (F) section of the statement or, if necessary, indicate that the transaction would not appear in any of these three sections of the statement (none), and 2. If the transaction would be reported on the cash flow statement as a positive (+) or a negative number (-). O, I, F, none + or - Transaction 1. Recording and payment of salaries and wages. 2. Proceeds from sale of bonds for cash. 3. Purchase of equipment for cash. 4. Cash purchases of office supplies.
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Chapter 5 – Exercise 1 (2 of 2) O, I, F, none + or - Transaction 1. Recording and payment of salaries and wages. 2. Proceeds from sale of bonds for cash. 3. Purchase of equipment for cash. 4. Cash purchases of office supplies. 5. Cash interest payments to bondholders. 6. Prepayment of insurance for first six months of year.
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ch05-LectureProblems-AFM101w2012 - Chapter 5 Exercise 1 (1...

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