Zoum Corporation had the following transactions during 2014:
-Issued $125,000 of par value common stock for cash.
-Recorded and paid wages expense of $60,000.
-Purchased land for $50.000 cash.
-Declared and paid a cash dividend of $10,000.
-Recorded cash sales of $400,000.
-Bought inventory for cash of $160,000.
-Paid interest expense of $1,000.
-Purchased treasury stock for $70,000.
-Repaid a long-term note payable in the amount of $30,000.
What is the net cash provided by operating activities?
Cash Flow Statement:
Cash flow statement is one of the required financial statements to be issued at every end of the accounting period. This FS statement focuses only on the cash transactions/activities of the business for the reporting period. This has three major categories - Financing, Operating, and Investing.
Answer and Explanation:
|Payment for wages||(60,000)|
|Purchase of inventory||(160,000)|
|Payment of interest||(1,000)|
|Net cash provided by operating activities||179,000|
The answer is b $179,000
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from Accounting 101: Financial AccountingChapter 12 / Lesson 5