Reference no: EM132762885

The differences in Beal Inc.'s balance sheet accounts at December 31, 20X10 and 20X9, are presented below:
Increase

(Decrease)

Assets

Cash and cash equivalents $120,000

Short-term investments $300,000

Accounts receivable, net -----

Inventory $80,000

Long-term investments $(100,000)

Plant assets $700,000

Accumulated depreciation -----

$1,100,000

Liabilities and Stockholders' Equity

A/P & accrued liab $(5,000)

Dividends payable $160,000

Short-term bank debt $325,000

Long-term debt $110,000

Common stock, $10 par $100,000

Additional paid-in capital $120,000

Retained earnings $290,000

$1,100,000

The following additional information relates to 20X10:

1. The short-term investments were classified as securities available for sale.
2. Net income was $790,000.
3. Cash dividends of $500,000 were declared.
4. Building costing $600,000 and having a carrying amount of $350,000 was sold for $350,000.
5. Equipment costing $110,000 was acquired through issuance of long-term debt.
6. A long-term investment was sold for $135,000. There were no other transactions affecting long-term investments.
7. 10,000 shares of common stock were issued for $22 a share.

Problem 1: In Beal's 20X10 statement of cash flows, net cash provided by financing activities was

A.) $20,000

B.) $45,000

C.) $150,000

D.) $205,000