The following additional information on cash flows during the year was obtained from an examination of the ledger: a. Investments (long-term) were purchased for $53,100 b. Investments (long-term) costing $76,700 were sold for $95,900 c. Equipment was purchased for $49,000. There were no disposals. d. A building valued at $200,000 was purchased for cash e. Land valued at $100,000 was purchased for cash f. Land which cost $71,000 was sold for $90,000 cash g. A mortgage note payable for $195,000 was issued for cash h. Bonds payable of $160,000 were retired by the payment of cash i. 3,000 shares of common stock were issued for cash at $27 per share j.Cash dividends of $40,000 were declared. Prepare the Statement of Cash Flows utilizing the indirect method. Once that is complete, redo the Cash Flows from Operating Activities section utilizing the direct method.
