Exercise 12-11A (Algo) Determining cash flows from financing activities LO 12-4 On January 1, Year 1, DIBA Company had a balance of $460,000 in its Bonds Payable account. During Year 1, DIBA issued bonds with a $181,000 face value. There was no premium or discount associated with the bond issue. The balance in the Bonds Payable account on December 31, Year 1, was $284,000. Required a. Determine the cash outflow for the repayment of bond liabilities assuming that the bonds were retired at face value. Cash outflow for the repayment of bond liabilities b. Prepare the financing activities section of the Year 1 statement of cash flows. Note: Amounts to be deducted should be indicated with a minus sign. Cash flows from financing activities: Net cash flow from financing activities

Exercise 12-11A (Algo) Determining cash flows from financing activities LO 12-4 On January 1, Year 1, DIBA Company had a balance of $460,000 in its Bonds Payable account. During Year 1, DIBA issued bonds with a $181,000 face value. There was no premium or discount associated with the bond issue. The balance in the Bonds Payable account on December 31, Year 1, was $284,000. Required a. Determine the cash outflow for the repayment of bond liabilities assuming that the bonds were retired at face value. Cash outflow for the repayment of bond liabilities b. Prepare the financing activities section of the Year 1 statement of cash flows. Note: Amounts to be deducted should be indicated with a minus sign. Cash flows from financing activities: Net cash flow from financing activities

Name: 3BookfoHintawExercise 12-11A (Algo) Determining cash flows from finan
Uploaded: 2024-03-04T10:43:15.000Z
Channel: Bartleby
Description: 3BookfoHintawExercise 12-11A (Algo) Determining cash flows from financing activities LO 12-4On January 1, Year 1, DIBA Company had a balance of $460,000 in its Bonds Payable account. During Year 1, DIBA issued bonds with a$181,000 face value. There

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

If $1,153,000 of 9% bonds are issued at 102 1/2, The amount of cash received from the sale is a.$1,153,000 b.$864,750 c.$1,256,770 d.$1,181,825
#9 Item Prior year Current year Accounts payable 8,123.00 7,716.00 Accounts receivable 6,048.00 6,607.00 Accruals 997.00 1,500.00 Cash ??? ??? Common Stock 10,094.00 11,603.00 COGS 12,653.00 18,393.00 Current portion long-term debt 4,911.00 5,090.00 Depreciation expense 2,500 2,763.00 Interest expense 733 417 Inventories 4,245.00 4,824.00 Long-term debt 14,141.00 13,226.00 Net fixed assets 51,826.00 54,004.00 Notes payable 4,339.00 9,940.00 Operating expenses (excl. depr.) 13,977 18,172 Retained earnings 28,688.00 30,532.00 Sales 35,119 45,044.00 Taxes 2,084 2,775 What is the firm's cash flow from financing? Answer format: Number: Round to: 0 decimal places.
6
The following accounts and corresponding balances were drawn from Dexter Company's Year 2 and Year 1 year-end balance sheets. Account Title Bonds payable Common stock Year 2 $216,800 375,100 Year 1 $300,200 283,500 Other information drawn from the accounting records: 1. Dividends paid during the period amounted to $43,500. 2. There were no bond liabilities issued during the period. Required a. Compute the amount of cash flow associated with the repayment of bond liabilities. b. Compute the amount of cash flow associated with the issue of common stock. c. Prepare the financing activities section of the statement of cash flows. Complete this question by entering your answers in the tabs below. Required A Required B Required C Compute the amount of cash flow associated with the repayment of bond liabilities. Cash flow for the repayment of bond liabilities 13
On January 1, Parson Freight Company issues 8.5%, 10-year bonds with a par value of $2,300,000. The bonds pay interest semiannually. The marke rate of interest is 9.5% and the bond selling price was $2,143,712. The bond issuance should be recorded as: Multiple Choice 22 Debit Cash $2,300,000; credit Bonds Payable $2,300,000. Debit Cash $2143,712; credit Bonds Payable $2,143,712. Debit Cash $2,300,000; credit Bonds Payable $2,143,712: credit Discount on Bonds Payable $156,288. Nohit Cach 2143712 dehit Diecount on Ronds Pavahle $156.288 crerdit Ronds Pavahle 2 300 000 Mc Graw Hill 9:12 P 96% Type here to search 3/21/20
vnit.8
Exercise 12-12A (Algo) Determining cash flows from financing activities LO 12-4 On January 1, Year 1, Hardy Company had a balance of $101,000 in its Common Stock account. During Year 1, Hardy paid $37,500 to purchase treasury stock. Treasury stock is accounted for using the cost method. The balance in the Common Stock account on December 31, Year 1, was $131,500. Assume that the common stock is no par stock. Required a. Determine the cash inflow from the issue of common stock. Cash inflow from the issue of common stock b. Prepare the financing activities section of the Year 1 statement of cash flows. Note: Amounts to be deducted should be indicated with a minus sign. Cash flows from financing activities: Net cash flow from financing activities
Exercise 7-19 (Algo) Bonds payable-various issues LO 7-8 Reynolds Company issued $71 million face amount of 4.25% bonds when market interest rates were 4.13% for bonds of similar risk and other characteristics. Required: a. How much interest will be paid annually on these bonds? Note: Enter your answer in dollars, not millions of dollars. b. Were the bonds issued at a premium or discount? c. Will the annual interest expense on these bonds be more than, equal to, or less than the amount of interest paid each year? a. Annual interest payment b. Bonds issued c. Annual interest expense will be
36
Required Information Exercise 12-10A (Algo) Determining cash flows from Investing activities LO 12-3 [The following information applies to the questions displayed below.] The following accounts and corresponding balances were drawn from Delsey Company's Year 2 and Year 1 year-end balance sheets: Account Title Investment securities Machinery Land Other Information drawn from the accounting records: Year 2 $ 104,300 524,400 143,300 1. Delsey Incurred a $1,210 loss on the sale of Investment securities during Year 2. 2. Old machinery with a book value of $4,860 (cost of $25.120 minus accumulated depreciation of $20,260) was sold. The Income statement showed a gain on the sale of machinery of $4,670. 3. Delsey did not sell land during the year. Exercise 12-10A (Algo) Part e e. Prepare the investing activities section of the statement of cash flows. Note: Amounts to be deducted should be indicated with a minus sign. DEL SEY COMPANY Statement of Cash Flows (Investing Activities) For the Year…
The following accounts and corresponding balances were drawn from Dexter Company’s Year 2 and Year 1 year-end balance sheets. Account Title Year 2 Year 1 Bonds payable $212,100 $300,800 Common stock 373,200 275,300 Other information drawn from the accounting records: Dividends paid during the period amounted to $42,100. There were no bond liabilities issued during the period. Requireda. Compute the amount of cash flow associated with the repayment of bond liabilities.b. Compute the amount of cash flow associated with the issue of common stock.c. Prepare the financing activities section of the statement of cash flows.
5 Required information Exercise 12-10A (Algo) Determining cash flows from investing activities LO 12-3 [The following information applies to the questions displayed below.] The following accounts and corresponding balances were drawn from Delsey Company's Year 2 and Year 1 year-end balance sheets: Account Title Investment securities Machinery Land Year 2 $ 103,400 521,300 145, 100 Year 1 $ 114,400 425, 100 91,800 Other information drawn from the accounting records: 1. Delsey incurred a $1,330 loss on the sale of investment securities during Year 2. 2. Old machinery with a book value of $4,130 (cost of $25,010 minus accumulated depreciation of $20,880) was sold. The income statement showed a gain on the sale of machinery of $4,980, 3. Delsey did not sell land during the year.