Solved

An Analyst Compiled the Following Information for U Inc \bullet Net Income Was $1,700,000

Question 59

Multiple Choice

An analyst compiled the following information for U Inc.for the year ended December 31,2016:
\bullet Net income was $1,700,000.
\bullet Depreciation expense was $400,000.
\bullet Interest paid was $200,000.
\bullet Income taxes paid were $100,000.
\bullet Common stock was sold for $200,000.
\bullet Preferred stock (8% annual dividend) was sold at par value of $250,000.
\bullet Common stock dividends of $50,000 were paid.
\bullet Preferred stock dividends of $20,000 were paid.
\bullet Equipment with a book value of $100,000 was sold for $200,000.
Using the indirect method,what was U Inc.'s net cash flow from operating activities for the year ended December 31,2016?


A) $2,000,000.
B) $2,030,000.
C) $2,080,000.
D) $2,100,000.

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions

Unlock this Answer For Free Now!

View this answer and more for free by performing one of the following actions

qr-code

Scan the QR code to install the App and get 2 free unlocks

upload documents

Unlock quizzes for free by uploading documents