In preparing a company\'s statement of cash flows for the most recent year, the
ID: 2353263 • Letter: I
Question
In preparing a company's statement of cash flows for the most recent year, the following information is available:Loss on the sale of equipment - $14,000
Purchase of equipment - $145,000
Proceeds from the sales of equipment - $126,000
Repayment of outstanding bonds - $87,000
Purchase of treasury stock - $62,000
Issuance of common stock - $96,000
Purchase of Land - $115,000
Increase in A/R during the year - $43,000
Decrease in A/P during the year - $75,000
Payment of cash dividends - $35,000
Net cash flows from investing activities for the year were:
A. $134,000 of net cash used by investing activities.
B. $134,000 of net cash provided by investing activities.
C. $120,000 of net cash used by investing activities.
D. $252,000 of net cash used by investing activities.
E. $221,000 of net cash provided by investing activities.
Please provide explanation of answer.
Explanation / Answer
A. $134,000 of net cash used by investing activities.