What is the cash provided or used by investing activities

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Reference no: EM132865933

Question - Piccolo Company provided the following information for the year ended December 31, 2015.

Increase in long-term debt 600,000

Purchase of treasury shares 500,000

Depreciation and amortization 1,900,000

Gain on sale of equipment 100,000

Proceeds from issuance of ordinary shares 2,000,000

Purchase of equipment for cash 4,000,000

Proceeds from sale of equipment 400,000

Payment of dividends 700,000

Net income 4,500,000

Increase (decrease) in working capital accounts:

Accounts receivable 1,500,000

Inventory (800,000)

Trade notes payable 1,000,000

Accounts payable 1,200,000

Income tax payable (300,000)

Cash balance, January 1, 2015 1,500,000

Required -

1. What is the net cash provided by operating activities?

A.7,700,000 B.7,600,000 C.7,500,000 D.6,800,000

2. What is the net cash provided by investing activities?

A.4,300,000 B.4,000,000 C.3,600,000 D.400,000

3. What is the net cash provided by financing activities?

A.2,100,000 B.1,400,000 C.1,100,000 D.800,000

4. What is the cash balance on December 31, 2015?

A.8,900,000 B.7,500,000 C.6,800,000 D.5,300,000

5. The following information on selected cash transactions for 2020 has been provided by Mancuso Company:

Proceeds from sale of land 160,000

Proceeds from long-term borrowings 400,000

Purchases of plant assets 144,000

Purchases of inventories 680,000

Proceeds from sale of Mancuso ordinary shares 240,000

What is the cash provided or used by investing activities for the year ended December 31, 2020 as a result of the above information?

A.16,000 B.256,000 C.160,000 D.800,000

Reference no: EM132865933

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