Mars Chemicals Company Uses the Indirect Method to Prepare Its

question 21

Multiple Choice

Mars Chemicals Company uses the indirect method to prepare its statement of cash flows. Refer to the following portion of the comparative balance sheet: Net Income for the year was $57,000. Which of the following statements is true of Taylor's statement of cash flows for 2016?

• A) The company issued stocks for $32,000.
• B) The company declared $56,000 as dividends.
• C) The company purchased treasury stock for $8,200.
• D) The net cash flow from financing activities is $178,800.