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The Following Information Was Obtained from the Warrior Corporation's Financial

Question 111

Essay

The following information was obtained from the Warrior Corporation's financial statements for the year ending December 31,2015:
• Bonds with a maturity value of $600,000 were issued for cash.
• The premium on bonds payable account increased $12,500 during the year.
• Bond interest expense was $30,500.
• There was $500 of amortization of premium on newly issued bonds payable.
• Retained earnings increased $119,300 during the year.
• A 5% common stock dividend resulted in 5,000 shares of $5 par value common stock being issued at a time when the market price per share was $17.
• Common stock was sold in exchange for cash.
• The common stock account increased $70,000 during the year.
• The additional paid-in capital account increased $210,000 during the year.
• Net income for the year was $217,400.
Required:
Determine the cash flow from financing activities for the year ending December 31,2015.

Correct Answer:

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$794,900 = $613,000 ...

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