Question

Creative Sound Systems sold investments, land, and its own common stock for $33.0 million, $14.7 million, and $39.4 million, respectively. Creative Sound Systems also purchased treasury stock, equipment, and a patent for $20.7 million, $24.7 million, and $11.7 million, respectively. What amount should Creative Sound Systems report as net cash flows from financing activities? (List cash outflows and any decrease in cash as negative amounts. Round your answers to 1 decimal place. Enter your answers in millions (i.e., $10,100,000 should be entered as 10.1).)

Answer 1

Answer:

Net cash flows from financing activities $18.7

Explanation:

CREATIVE SOUND SYSTEMS

Statement of Cash Flows (partial)

Cash Flows from Financing ActivitiesIssuance of common stock $ 39.4

Less Purchase of treasury stock(20.7)

Net cash flows from financing activities $18.7

Therefore the amount that Creative Sound Systems should report as net cash flows from financing activities will be $18.7