7 hum drum company had the following transactions during may 1 collected 47 000 cash 4352212

7.Hum-Drum Company had the following transactions during May:

1.Collected $47,000 cash from customers.

2.Purchased $40,000 of inventory on credit.

3.Purchased equipment for $10,000 cash.

4.Issued $50,000 of common stock.

5.Made a $2,500 payment on a loan obtained last year.

6.Payments to suppliers of merchandise totaled $28,500.

7.Paid $11,500 for expenses.

Required:

Determine net cash flow from (a) operating activities, (b) financing activities, and (c) investing activities for May.

8.Levitz Corporation had the following transactions during December:

1.Collected $210,000 cash from customers.

2.Purchased $180,000 of inventory on credit.

3.Purchased equipment for $50,000 cash.

4.Issued $300,000 of common stock.

5.Made a $16,000 payment on a loan obtained last year.

6.Payments to suppliers of merchandise totaled $130,000.

7.Paid $60,000 for expenses.

Required:

Determine net cash flow from (a) operating activities, (b) financing activities, and (c) investing activities for December.

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