Yi Company Began Operations on January 1, 2013

question 240

Multiple Choice

Yi Company began operations on January 1, 2013. During 2013, the company engaged in the following cash transactions:
1) issued stock for $40,000
2) borrowed $25,000 from its bank
3) provided consulting services for $38,000
4) paid back $15,000 of the bank loan
5) paid rent expense for $9,000
6) purchased equipment costing $12,000
7) paid $3,000 dividends to stockholders
8) paid employees' salaries, $21,000
What is Yi's net cash flow from investing activities?

• A) Inflow of $40,000
• B) Outflow of $37,000
• C) Inflow of $28,000
• D) Outflow of $12,000

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Definitions:

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