0:00
Hello everyone.
00:02
So first part as the question says that state the effect cash receipt or cash payment and amount of each of the following transactions considered individually on cash flows.
00:13
So first is retired $500 ,000 of bonds on which there was $4 ,000 of unauthorized discount for $510 ,000 so for that this is cash payment or $510 ,000.
00:38
Next is sold 20 ,000 shares of $5 per common stock for $30 per share.
00:49
So it is cash receipt that is $600 ,000.
01:02
How we have calculated this? 20 ,000 multiplied by 30.
01:11
Next is sold equipment with a book value of 68 ,000.
01:16
$1 ,400 for $72 ,400.
01:21
So this is also cash receipt of $72 ,400.
01:34
Next is purchased land for $825 ,000 cash.
01:42
So this comes under cash payment of $825 ,000...