A List of Sources and Uses of Cash Are Given

question 27

Short Answer

A list of sources and uses of cash are given below. Indicate on the line provided whether each is an (O)operating, (I)investing, (F)financing, or a significant (N)noncash financing and investing activity.
-----(a) collected accounts receivable from customers
-----(b) issued bonds payable
-----(c) purchased equipment for cash
-----(d) purchased land in exchange for a note payable
-----(e) pay interest expense
-----(f) declared dividend
-----(g) paid advertising expenses
-----(h) collected interest and dividends from actively traded investments
-----(i) repaid a long-term note payable
-----(j) gain on sale of land

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Definitions:

Salvage Value

Salvage value is the estimated resale or scrap value of an asset at the end of its useful life.

Capital Budgeting

The process by which a business evaluates and selects long-term investments that are likely to add value to the company.

Highly Uncertain

Refers to situations or outcomes with a very high level of unpredictability or risk, often due to a lack of information or complex variables.

Required Rate Of Return

This is the minimum rate of return on an investment that an investor deems acceptable, taking into account the investment's risk level and opportunity costs.