Question

In​ 2019, Chen Corporation purchased treasury stock with a cost of $ 54 comma 000. During the​ year, the company declared and paid dividends of $ 10 comma 000 and issued bonds payable for $ 900 comma 000. Net cash provided by financing activities for 2019​ is: A. $ 890 comma 000. B. $ 836 comma 000. C. $ 900 comma 000. D. $ 846 comma 000.

Answer 1

Answer:

Chen Corporation's Net Cash Flows from Financing Activities during the year are $836,000

Explanation:

Cashflows from Financing Activities

Payment made to purchase treasury stock during the year            $(54,000)

Dividends declared and paid during the year                                   $(10,000)

Proceeds received from issue of Bonds Payable during the year  $900,000  

Net Cash flow from Financing Activities                                         $836,000  

*Please note that figures in brackets represent Cash Outflows