Below are several transactions for Meyers Corporation for
2021.
Issue common stock for cash, $49,000.
Purchase building and...
70.2K
Verified Solution
Link Copied!
Question
Accounting
Below are several transactions for Meyers Corporation for2021.
Issue common stock for cash, $49,000.
Purchase building and land with cash, $34,000.
Provide services to customers on account, $6,900.
Pay utilities on building, $950.
Collect $4,900 on account from customers.
Pay employee salaries, $8,900.
Pay dividends to stockholders, $3,900.
Required:
For each transaction, determine the amount of cash flows. Ifcash is involved in the transaction, indicate whether Meyers shouldclassify it as operating, investing, or financing in a statement ofcash flows. (Enter N/A if the question is not applicable tothe statement. List cash outflows as negativeamounts.)
Calculate net cash flows for the year. (List cashoutflows as negative amounts.)
Assuming the balance of cash on January 1, 2021, equals $4,300,calculate the balance of cash on December 31, 2021.
Answer & Explanation
Solved by verified expert
3.7 Ratings (565 Votes)
1 Amount of cash flow and cash flow classification is as shown below Cash Amount of cash flow Statement of cash Flow a Issue common stock for cash 49000 49000 Cash increase by 49000 Financing activity b Purchase building and land
See Answer
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
