Given the Following Information, Determine the Amount of Cash Flows

question 114

Multiple Choice

Given the following information, determine the amount of cash flows from investing and financing activities. $$\begin{array} { | l | r | } \hline \text { Net income } & \$ 70,000 \\\hline \text { Loss on sale of plart assets } & 25,000 \\\hline \text { Cash received from sale of plart assets } & { 3 6 , 0 0 0 } \\\hline \text { Cash received from issuing stock } & { 8 0 , 0 0 0 } \\\hline \text { Increase in income taxes payable } & { 2 0 , 0 0 0 } \\\hline\end{array}$$

• A) \(\begin{array}{|l|}
• \hline\text{Cash provided by investing activities,}~ \$ 11,000\\
• \hline\text{Cash provided by finanicing activities,}~\$ 80,000\\
• \hline
• \end{array}\)
• B) \(\begin{array}{|l|}
• \hline\text{Cash used by investing activities,}~ \$ 80,000\\
• \hline\text{Cash used by finanicing activities,}~\$ 11,000\\
• \hline
• \end{array}\)
• C) \(\begin{array}{|l|}
• \hline\text{Cash provided by investing activities,}~ \$ 80,000\\
• \hline\text{Cash provided by finanicing activities,}~\$ 36,000\\
• \hline
• \end{array}\)
• D) \(\begin{array}{|l|}
• \hline\text{Cash used by investing activities,}~ \$ 25,000\\
• \hline\text{Cash used by finanicing activities,}~\$ 36,000\\
• \hline
• \end{array}\)
• E) \(\begin{array}{|l|}
• \hline\text{Cash provided by investing activities,}~ \$ 36,000\\
• \hline\text{Cash provided by finanicing activities,}~\$ 80,000\\
• \hline
• \end{array}\)

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The amount paid by an individual or business for insurance coverage, typically charged monthly or annually.

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The process of subtracting an amount from a total, especially from taxable income or expenses.

Insurance Premiums

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