In preparing Tywin Company's statement of cash flows for the most recent year, the following information is available: Purchase

Question

4 years ago

15

of equipment $ 260,000 Proceeds from the sale of equipment 87,000 Purchase of land 91,000 Net cash flows from investing activities for the year were:

1 answer:

soldier1979 [14.2K] · Answer 1 · 2021-11-25T00:25:52+03:00

Answer:

-$264,000

Explanation:

The net cash flows from investing activities for the year is presented below

Cash flow from investing activities

Purchase of equipment -$260,000

Proceeds from the sale of equipment $87,000

Purchase of land -$91,000

Net cash flow used by investing activities -$264,000

The purchase is a cash outflow so it would be shown in a minus sign whereas sales is a cash inflow so it would be added