Reference no: EM131783589

Utah Corp.

Use the following selected data and additional information from the records of Utah Corp. to answer the questions that follow.

Balance Sheet Data	2016	2015
Accounts receivable	$ 36,000	$ 42,000
Inventories	28,000	25,000
Accounts payable	31,000	35,000
Salaries payable	2,000	1,000
Equipment	60,000	40,000
Accumulated depreciation	12,000	16,000
Bonds payable	50,000	100,000
Common stock	150,000	I OO,OOO
Retained earnings	38,000	20,000
Income Statement Data		2016
Net sales		$420,000
Cost of goods sold		300,000
Operating expenses (excluding depreciation expense)	84,000
Net income	30,000
Gain on sale of equipment (included in net income above)	2,000

Additional infomation:

(l) Equipment with a cost of $15,000 and a book value of $3,000 was sold for $5,000 during 2016.

Common stock was issued to retire bonds payable during 2016.

The only items affecting retained earnings in 2016 were net income and dividends declared and paid.

Review the data for Utah Corp.

REQUIRED:

Prepare the investing activities section of a statement of cash flows for 2016 for Utah Corp.