Question

In 2018​, Gathering Company repurchased its own stock at a cost of $ 48,000. During the​ year, the company purchased land with cash for $ 124,000 and issued bonds payable for $ 375,000. Net cash provided by financing activities for the year would have been _________.

Answer 1

Answer:

$327,000

Explanation:

Stocks owned by the Gathering Company after repurchasing = $48,000

Cash paid for the purchase of land = $124,000

Amount of issued bonds payable =  $375,000

Now,

Net cash provided by financing activities for the year would have been

= Amount of issued bonds payable - Stocks owned by the Gathering Company

= $375,000 - $48,000

= $327,000