Question

Oering's Furniture Corporation is a Virginia-based manufacturer of furniture. In a recent year, it reported the following activities:

Net income	$	5,148
Purchase of property, plant, and equipment		2,080
Borrowings under line of credit (bank)		1,129
Proceeds from issuance of stock		28
Cash received from customers		37,168
Payments to reduce long-term debt		49
Sale of marketable securities		233
Proceeds from sale of property and equipment		6,874
Dividends paid		286
Interest paid		108
Purchase of treasury stock (stock repurchase)		2,579

Required:

Based on this information, present the investing and financing activities sections of the cash flow statement. (List cash outflows as negative amounts.)

Options are: Borrowings under line of credit, cash received from customers, payment of dividends, payment of interest, payments on long term debt.

Then write the amount.

Answer 1

Statement of cash flows
Cash flow from Investing activities:
Purchase of property, plant, and equipment	$(2,080)
Sale of marketable securities	233
Proceeds from sale of property and equipment	6874
Net cash provided (used) by Investing activities		$5,027
Cash flow from financing activities:
Borrowings under line of credit	$1,129
Proceeds from issuance of stock	$28
Payments on long term debt	(49)
Dividends paid	(286)
Purchase of treasury stock	(2,579)
Net cash proceeds (used) by financing activities		$(1,757)