Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. land transactions on the statement of cash flows i

Land transactions on the statement of cash flows IZ Corporation purchased land for $425,000. Later...

60.1K

Verified Solution

Question

Accounting

Land transactions on the statement of cash flows

IZ Corporation purchased land for $425,000. Later in the year, the company sold a different piece of land with a book value of $225,000 for $270,000.

How are the effects of these transactions reported on the statement of cash flows assuming the indirect method is used? Use the minus sign to indicate cash outflows, cash payments, decreases in cash and for any adjustments, if required. If a transaction has no effect on the statement of cash flows, select "No effect" from the drop down menu and leave the amount box blank.

Transactions Action Amount
Gain on sale of land No effectAdded to net incomeDeducted from net incomePart of cash flows from financing activities Part of cash flows from investing activities $fill in the blank 2
Cash received from sale of land No effectAdded to net incomeDeducted from net incomePart of cash flows from financing activities Part of cash flows from investing activities $fill in the blank 4
Cash paid for purchase of land No effectAdded to net incomeDeducted from net incomePart of cash flows from financing activities Part of cash flows from investing activities $fill in the blank 6

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Accounting
1.2K views

Payback Period and NPV of Alternative Automobile Purchase WendyLi decided to purchase a new...

Finance
1.2K views

Anderson's Furniture Outlet has an unlevered cost of capital of 10%, a tax rate of 34%,...

Medical Sciences
1.2K views

1. explain what the p waves, qrs complex, and t waves represent.. 2. explain the significance of...

General Management
1.2K views

subject course is E business the topic is about: covid 19 and the impact on e...

Biology
1.2K views

What is the meaning of the Latin root'-sem-or-sim-in words such as dissemble or resemblance?A seemB...

Biology
1.2K views

Imagine that you are walking around campus and you notice that many students are carrying...

Geometry
1.2K views

Find the center radius form of the equation of the circle described and graph it...

Accounting
1.2K views

Please show how you got the answer. % ($) % 68.4% 31.6% 100.0% 35.7%...

Accounting
1.2K views

a firm selling food should have a heart inventory turnover rate than a firm selling...

Accounting
1.2K views

You need a 25-year, fixed-rate mortgage to buy a new home for $170,000. Your mortgage...

Finance
1.2K views

need all 3 solution soon QUESTION 11 A stock is expected to pay dividends...

Accounting
1.2K views

Howard Rockness was worried. His company, Rockness Bottling, showed declining profits over the past several...