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goblinko [34]
3 years ago
9

Creative Sound Systems sold investments, land, and its own common stock for $32.0 million, $15.2 million, and $40.4 million, res

pectively. Creative Sound Systems also purchased treasury stock, equipment, and a patent for $21.2 million, $25.2 million, and $12.2 million, respectively.
What amount should the company report as net cash flows from investing activities? (Enter your answers in millions rounded to one decimal places. List cash outflows as negative amounts.)
Business
1 answer:
cupoosta [38]3 years ago
4 0

Answer:

Net cash flow from investing activities is $47.2 million -$58.6 million =-11.4 million.

Explanation:

Draft Cashflow Statement.

Operating Activities; $0.0 million

Investing Activties;

Cash Inflows;

Sales of ; investment $32.0 million,plus sales of Land $15.2 million =$47.2 million.

Cash outflows; Purchase of ; treasury stock -$21.2, plus equipment -$25.2 million, plus patent -$12.2 million =-$58.6 million

Net cash flow from investing activities is $47.2 million less $58.6 million=-11.4 million.

Financing Activities;

Issues of common stock $40.4

Note that sales of own common stock is a financing activity

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