Reference no: EM13538841

Given the following selected information, determine the net cash flows from investing activities and the net cash flows from financing activities:

a) Net income was $189,500 for the period.

b) Purchased 10,000 shares of common stock at $15 per share for the treasury.

c) Sold equipment with a carrying value of $32,500 at a gain of $6,000.

d) Purchased land and a building worth $450,000 by signing a ten-year note payable.

e) Issued $1,000,000 in bonds at par.

f) The beginning and ending retained earnings account balances were $418,000 and $534,000, respectively. There were no prior period adjustments during the period.

g) Wrote a check for $648,000 for the purchase of machinery.

h) Sold long-term investments in marketable securities with a $50,000 carrying value, at a loss of $17,500.

i) Cash dividends were declared and paid during the period.