Sherya Inc

question 27

Essay

Sherya Inc.'s policy is to report all cash flows arising from interest and dividends in the operating section.Sherya's activities for the year ended December 31,2018 included the following:
• Interest expense for the period was $10,000.The interest payable account decreased $4,000.
• Made a $110,000 principal payment on a bank loan.
• Declared a $15,000 cash dividend payable on January 15,2019.
• Declared and issued a stock dividend valued at $50,000.
• Paid $55,000 to repurchase ordinary shares and cancelled them.The book value was $40,000.
• Accounts payable increased $23,000 during the year.
• Issued $1,500,000 in bonds.The cash proceeds were $1,380,000.
Required:
a.Prepare the cash flows from financing activities section of the statement of cash flows.
b.Identify how the activities listed above that are not financing activities would be reported in the statement of cash flows assuming that the statement is prepared using the indirect method.

Recognize the concepts and applications of workers' compensation, including defenses available to employers.

Identify different labor laws protecting employees and employers, including the Landrum-Griffin Act, Taft-Hartley Act, and Americans with Disabilities Act.

Understand anti-discrimination laws pertaining to pregnancy, race, sex, age, and disability.

Learn about the regulations surrounding wages, hours of employment, and child labor under the Fair Labor Standards Act.

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Definitions:

Expected Return

The weighted average of all possible returns, with weights equal to the probabilities of each outcome.

Equally-Weighted

An investment strategy where each security is assigned the same weight or importance in a portfolio, promoting diversification.

Risk-Free Asset

An investment with a certain return, usually with low returns, considered to have negligible risk, such as government bonds.

Expected Return

The anticipated value or profit gained from an investment over a specified period, considering all possible outcomes.