ruta_becca
Feb 10, 2011, 07:05 AM
Cash Flow Computations
From the following selected data, compute:
1. Net cash flow provided (used) by operating activities.
2. Net cash flow provided (used) by investing activities.
3. Net cash flow provided (used) by financing activities.
4. Net increase (decrease) in cash during the year.
5. The cash balance at the end of the year.
Cash receipts from:
Customers.. . $270,000
Investments by owners.. . 54,000
Sale of building.. . 90,000
Proceeds from bank loan.. . 60,000
Cash payments for:
Wages.. . $ 82,000
Utilities.. . 3,000
Advertising.. . 4,000
Rent.. . 36,000
Taxes.. . 67,000
Dividends.. . 20,000
Repayment of principal on loan.. . 40,000
Purchase of land.. . 106,000
Cash balance at beginning of year.. . $386,000
This is what I have, and I think I am missing something, or have a mistake in there. Can you help me please?
Thank you.
1. Operating Activities
Customers $270,000
Wages $(82,000)
Rent $(36,000)
Utilities $(3,000)
Taxes $(67,000)
Advertising $(4,000)
Net cash flow provided (used) by Operating Activities $ 78,000
2. Investing Activities
Sale of Building $90,000
Purchase of Land $ (106,000)
Net cash flow provided (used) by Investing Activities $16,000
3. Financing Activities
Proceeds from bank loan $ 60,000
Repayment of principle loan $(40,000)
Dividends $(20,000)
Investments by owners $54,000
Net cash flow provided (used) by Financing Activities $54,000
4. Net increase 78,000 + 16,000 + 54,000 = 148,000
5. The cash balance at the end of the year =$148,000
From the following selected data, compute:
1. Net cash flow provided (used) by operating activities.
2. Net cash flow provided (used) by investing activities.
3. Net cash flow provided (used) by financing activities.
4. Net increase (decrease) in cash during the year.
5. The cash balance at the end of the year.
Cash receipts from:
Customers.. . $270,000
Investments by owners.. . 54,000
Sale of building.. . 90,000
Proceeds from bank loan.. . 60,000
Cash payments for:
Wages.. . $ 82,000
Utilities.. . 3,000
Advertising.. . 4,000
Rent.. . 36,000
Taxes.. . 67,000
Dividends.. . 20,000
Repayment of principal on loan.. . 40,000
Purchase of land.. . 106,000
Cash balance at beginning of year.. . $386,000
This is what I have, and I think I am missing something, or have a mistake in there. Can you help me please?
Thank you.
1. Operating Activities
Customers $270,000
Wages $(82,000)
Rent $(36,000)
Utilities $(3,000)
Taxes $(67,000)
Advertising $(4,000)
Net cash flow provided (used) by Operating Activities $ 78,000
2. Investing Activities
Sale of Building $90,000
Purchase of Land $ (106,000)
Net cash flow provided (used) by Investing Activities $16,000
3. Financing Activities
Proceeds from bank loan $ 60,000
Repayment of principle loan $(40,000)
Dividends $(20,000)
Investments by owners $54,000
Net cash flow provided (used) by Financing Activities $54,000
4. Net increase 78,000 + 16,000 + 54,000 = 148,000
5. The cash balance at the end of the year =$148,000