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BlackZzzverrR [31]
3 years ago
6

A company had the following cash flows for the year:

Business
1 answer:
pychu [463]3 years ago
3 0

Answer:

The amount would be reported for net financing cash flows on the Statement of Cash Flows: 1) $155,000

Explanation:

Net financing cash flows is calculated by using following formula:

Net financing cash flows = Cash in flows from issuing equity or debt  - Cash paid as dividends  - Repurchase of debt and equity

In the company, Net financing cash flows = Cash Borrowed from a local bank + Cash from Issued common stock - Paid dividends = $100,000 + $75,000 - $20,000 = $155,000

​

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