What net cash flow from financing activities for clothesline

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Reference no: EM133009981

Below are the transactions for the Clothesline Company (reporting under US GAAP):

Proceeds from issuance of bonds payable $1,000,000

Payment to purchase equipment $475,000

Payment of wages $115,000

Payment of dividends $375,000

Payment to pay off notes payable $1,200,000

Problem 1: Based on these transactions, what is the net cash flow from financing activities?

A) $575,000 net cash provided by financing activities.

B) $575,000 net cash used for financing activities.

C) $0, because cash inflows equal cash outflows from financing activities.

D) $1,050,000 net cash used by financing activities.

Reference no: EM133009981

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