Below are several transactions that took place in Mohawk Company last year, identify the nature of activity and also indicate the direction of cash flow. (Leave no cells blank.)
Transaction | Activity | Cash Inflow / Outflow | ||
a. | Bonds were retired by paying the principal amount due. | Financing | Cash outflow | |
b. | Interest was paid to a lender. | Operating | Cash outflow | |
c. | Income taxes were paid to the government. | Operating | Cash outflow | |
d. | A long-term loan was made to a supplier. | Investing | Cash outflow | |
e. | Cash dividends were declared and paid. | Financing | Cash outflow | |
f. | Common stock was sold for cash to investors. | Financing | Cash inflow | |
g. | Equipment was sold for cash. | Investing | Cash inflow | |
h. | Paid wages to employees. | Operating | Cash outflow | |
i. | Collected cash from customers. | Operating | Cash inflow | |
j. | Paid cash to repurchase its own stock. | Financing | Cash outflow | |
k. | Bought equipment for cash. | Investing | Cash outflow | |
l. | Paid suppliers for inventory purchases. | Operating | Cash outflow | |
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