Question

MC Qu. 141 Use the following information...

Use the following information to calculate cash received from dividends:

Dividends revenue	$	30,300
Dividends receivable, January 1		2,700
Dividends receivable, December 31		3,600

Multiple Choice

$26,700.

$33,000.

$29,400.

$30,300.

$31,200.

MC Qu. 136 A machine with a cost...

A machine with a cost of $137,000 and accumulated depreciation of $88,500 is sold for $57,000 cash. The amount that should be reported in the operating activities section reported under the direct method is:

Multiple Choice

$48,500.

Zero. This is a financing activity.

Zero. This is an investing activity.

$8,500.

$57,000.

Answer 1

Answer 141 options (c) $29,400

Given data is-

Dividend Revenue= $30,300

Opening Dividend Receivable balance= $2,700

Closing Dividend Receivable balance= $3,600

Cash received from dividend=

Opening dividend receivable+ Dividend revenue- Closing dividend receivable

=$2,700 + 30,300 -3,600

=$29,400

Answer 136. (c) Zero. This is an investing activity.

In Direct method of cash flow, sales of machine should be reports under investing activities part. This is not a part of operating activities