During the Current Year, Two Transactions Were Recorded in the Land

question 51

Multiple Choice

During the current year, two transactions were recorded in the Land account of Duke Industries. One involved a debit of $320,000 to the Land account; the second was a $210,000 credit to the Land account. Duke's income statement for the year reported a loss on sale of land in the amount of $25,000. All transactions involving the Land account were cash transactions. These transactions would be shown in the statement of cash flows as:

• A) $320,000 cash provided by investing activities, and $210,000 cash disbursed for investing activities.
• B) $185,000 cash provided by investing activities, and $320,000 cash disbursed for investing activities.
• C) $235,000 cash provided by investing activities, and $320,000 cash disbursed for investing activities.
• D) $210,000 cash provided by investing activities, and $320,000 cash disbursed for investing activities.

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Definitions:

Motivation

Is the set of forces that causes people to behave in certain ways. Individual motivation is also a major determinant of individual performance, but motivation is at the heart of what causes an employee to choose to expend the effort that will support any organizational activity.

Forces

Elements or factors that influence or drive changes within a social, physical, or business environment.

Competitive Advantage

Refers to the unique attributes or qualities an organization has that enable it to outperform its competitors.

Hierarchical Management Scheme

A structured organizational form in which decision-making authority is defined by a top-down approach.