Question

Tandoor Inc. financial statements included the following amounts for the current​ year: Retired bonds ​$73,000 Proceeds from collection of note receivable 37 comma 000 Dividends received ​45,000 Acquired production machinery with cash 52 comma 000 Sold treasury stock 31 comma 000 Based on this​ information, what is the amount of net cash provided​ (used) by investing​ activities?

Answer 1

Answer:

-$15,000

Explanation:

The computation of the net cash provided or used by investing activities is shown below:

= Proceeds from collection of note receivable - Acquired production machinery with cash

= $37,000 - $52,000

= -$15,000

This negative amount represents the cash used by investing activities

Plus the collection show the inflow of cash and the acquired production represents the outflow of cash