Effect of Transactions on Cash Flows State the effect (cash receipt or payment and amount) of each of the following transactions, considered individually, on cash flows: Retired $180,000 of bonds, on which there was $1,800 of unamortized discount, for $187,000. Sold 12,000 shares of $20 par common stock for $43 per share. Sold equipment with a book value of $52,900 for $76,200. Purchased land for $407,000 cash. Purchased a building by paying $59,000 cash and issuing a $100,000 mortgage note payable. Sold a new issue of $270,000 of bonds at 99. Purchased 2,500 shares of $20 par common stock as treasury stock at $39 per share. Paid dividends of $2.20 per share. There were 33,000 shares issued and 5,000 shares of treasury stock.   Effect Amount a.   $ b.   $ c.   $ d.   $ e.   $ f.   $ g.   $ h.   $

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Chapter1: Financial Statements And Business Decisions
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Effect of Transactions on Cash Flows

State the effect (cash receipt or payment and amount) of each of the following transactions, considered individually, on cash flows:

  1. Retired $180,000 of bonds, on which there was $1,800 of unamortized discount, for $187,000.
  2. Sold 12,000 shares of $20 par common stock for $43 per share.
  3. Sold equipment with a book value of $52,900 for $76,200.
  4. Purchased land for $407,000 cash.
  5. Purchased a building by paying $59,000 cash and issuing a $100,000 mortgage note payable.
  6. Sold a new issue of $270,000 of bonds at 99.
  7. Purchased 2,500 shares of $20 par common stock as treasury stock at $39 per share.
  8. Paid dividends of $2.20 per share. There were 33,000 shares issued and 5,000 shares of treasury stock.
  Effect Amount
a.   $
b.   $
c.   $
d.   $
e.   $
f.   $
g.   $
h.   $
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