Accounts Amounts Cash received from sale of products to customers $ 31,000 Cash received from the bank for long-term loan 36,000 Cash paid to purchase factory equipment (41,000) Cash paid to merchandise suppliers (10,200) Cash received from the sale of an unused warehouse 11,200 Cash paid to workers (22,200) Cash paid for advertisement (2,200) Cash received for sale of services to customers 21,000 Cash paid for dividends to stockholders (4,200) Assume the balance of cash at the beginning of the period is $3,200. Required: 1. Calculate the ending balance of cash.

Question

Business

Dorian Macias

30 July, 08:34

Accounts Amounts Cash received from sale of products to customers $ 31,000 Cash received from the bank for long-term loan 36,000 Cash paid to purchase factory equipment (41,000) Cash paid to merchandise suppliers (10,200) Cash received from the sale of an unused warehouse 11,200 Cash paid to workers (22,200) Cash paid for advertisement (2,200) Cash received for sale of services to customers 21,000 Cash paid for dividends to stockholders (4,200) Assume the balance of cash at the beginning of the period is $3,200. Required: 1. Calculate the ending balance of cash.

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Coleman Boone · Answer 1

Ending cash balance : 22,600

Explanation:

operating activities:

collection from products 31,000

collection from services 21,000

merchandise suppliers (10,200)

wages paid (22,200)

advertisement paid (2,200)

generated from operating activities 17,400

financing activities:

loan from the bank 36,000

dividends paid (4,200)

cash generated from financing activities 31,800

investing activities:

sale of warehouse 11,200

purchase of equipment (41,000)

cash used in investing activities (29,800)

cash generated for the period 19,400

beginning cash balance 3,200

Ending cash balance 22,600