Q&A Categories
Archives
Currency Converter


Amount

Current Users

What is the amount to be reported under cash flows from financing activities?

A web user asks, A company reported that its bonds with a par value of $50,000 and a carrying value of $57,000 are retired for $60,000 cash, resulting in a loss of $3,000. The amount to be reported under cash flows from financing activities is:

A. $ (3,000).
B. $(60,000).
C. $(57,000).
D. Zero. This is an operating activity.
E. Zero. This is an investing activity

Thank you.

Can you help them out? Post your advice!

VN:F [1.8.9_1076]
Rating: 0.0/10 (0 votes cast)

Related Items:

  1. How to determine cash flows using indirect method for operating activities?
  2. How do I project the cash flows for a company for the next 5 to 10 years?
  3. What $ amount do you start paying taxes for a cash prize?
  4. What are the relevant cash flows to consider in this decision? For example, do you consider the tax implicatio
  5. Which of the following will occur in a statement of cash flows as a result of paying 89sh dividends?

One Response to “What is the amount to be reported under cash flows from financing activities?”

  • Sandy says:

    The actual amount paid out was $60,000 cash, so the answer is B. $(60,000). However you should note that the loss of $3,000 is to be added back to net income under the operating activities section.

    UN:F [1.8.9_1076]
    Rating: 0 (from 0 votes)

Leave a Reply