Use the Following Information About the Calendar-Year Cash Flows of MacArthur

question 130

Essay

Use the following information about the calendar-year cash flows of MacArthur Company to prepare a statement of cash flows (direct method)and a schedule of noncash investing and financing activities.
$\begin{array}{|l|r|}\hline \text { Cash and cash equivalents, beginning-year balance } & \$ 18,000 \\\hline \text { Cash and cash equivalents, year-end balance } & 78,750 \\\hline \text { Cash payments for merchandise inventory } & 75,750 \\\hline \text { Cash paid for store equipment } & 15,750 \\\hline \text { Cash borrowed on three-month note payable } & 22,500 \\\hline \text { Cash dividends paid } & 12,000 \\\hline \text { Cash paid for salaries } & 39,000 \\\hline \text { Cash payments for other operating expenses } & 48,000 \\\hline \text { Building purchased and financed by long-term note payable } & 78,000 \\\hline \text { Cash received from customers } & 220,500 \\\hline \text { Cash interest received } & 8,250 \\\hline\end{array}$

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Definitions:

William Julius Wilson

A sociologist from America who is recognized for his contributions to urban sociology, as well as his studies on race and socio-economic class within the United States.

Middle-Class

A social group between the upper and working classes, including professionals, business people, and others with moderate income.

Black Working-Class

The Black working-class refers to members of the Black community engaged in manual or industrial labor, often focusing on economic and social challenges faced by this group.

Poor

Individuals or populations that lack financial resources and essentials for a minimum standard of living.