State whether each change is a source or use of cash

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How would each of the following events affect the firms balance sheet? State whether each change is a source or use of cash

a) An automobile manufacturer increases production in response to a forecast increase in demand. Unfortunately, the demand does not increase.

b) Competition forces the firm to give customers more time to pay for their purchases.

c) The firm sells a parcel of land for $100,000. The land was purchased 5 years earlier for $200,000.

d) The firm repurchases its own common stock.

e) The firm pays its quarterly dividend.

f) The firm issues $1M of long-term debt and uses the proceeds to repay a short term bank loan.

Reference no: EM131640241

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