Question : 118. On the basis of the above information alone, what Global : 1229424

118. On the basis of the above information alone, what is Global Data’s net cash flow from financing activities? 
A. $147,000 net cash used for financing activities.
B. $145,500 net cash used for financing activities.
C. $206,100 net cash used for financing activities.
D. $500,100 net cash used for financing activities.

119. If Global Data’s income statement for 2009 reports interest expense of $25,200, then: 
A. Interest payable decreased by $16,800 in 2009.
B. Interest payable increased by $16,800 in 2009.
C. Interest payable at the end of 2009 amounts to $16,800.
D. Either the amount reported in the income statement or the interest payment shown above must be incorrect.

120. If interest receivable was $6,300 at December 31, 2008, and is $10,500 at the end of 2009, interest revenue reported in Global Data’s income statement for 2009 must have been: 
A. $16,800.
B. $21,000.
C. $35,700.
D. $4,200.

121. During 2010, Gillespie Corporation made a loan of $155,000 to a major customer. By the end of 2010 the customer had paid back $60,000 of the loan plus interest of $12,000. In the statement of cash flows for 2010, Gillespie Corporation would report: 
A. A net decrease in cash and cash equivalents of $72,000 for 2010.
B. $72,000 net cash used for investing activities.
C. $95,000 net cash used for investing activities, and $12,000 cash provided from operating activities.
D. $155,000 net cash used for investing activities, and $72,000 net cash provided by financing activities.

122. The comparative balance sheets of Friends, Inc. show a net increase in accounts receivable of $650 and a net decrease in inventory of $500. To determine net cash flow from operating activities under the indirect method, net income should be: 
A. Reduced by $650.
B. Increased by $650.
C. Reduced by $150.
D. Increased by $150.

123. The comparative balance sheets of Greenvale Games, Inc. show a net decrease in unexpired insurance of $400 and a net decrease in interest payable of $250. In order to reconcile net income with net cash flow from operating activities, net income should be: 
A. Increased by $650.
B. Reduced by $650.
C. Increased by $150.
D. Reduced by $150.

124. The comparative balance sheets of Apollo Rocket, Inc. show a net increase in inventory of $79,000 and a net decrease in accounts payable of $42,000 during 2009. In computing net cash flow from operating activities under the indirect method, net income for 2009 should be: 
A. Increased by $37,000.
B. Reduced by $37,000.
C. Increased by $121,000.
D. Reduced by $121,000.

125. During the current year, Atkins, Inc. sold a parcel of land for $840,000 cash. The land had been purchased by Atkins several years ago for $410,000. Atkins, Inc. uses the indirect method to prepare its statement of cash flows. In order to reconcile net income to net cash flow from operating activities, net income must be: 
A. Decreased by $410,000.
B. Decreased by $430,000.
C. Increased by $430,000.
D. Not adjusted because the sale of land is classified as an investing activity.

126. At the end of the first year of operations, the balance sheet of Midwood Medical Supply showed the following: Accounts Receivable, $5,000; Accounts Payable, $6,000; Inventory, $3,000; and Unexpired Insurance, $2,000. The corporation reported net income of $79,000 for the year, including depreciation expense of $5,000, and uses the indirect method of computing net cash flow from operating activities. Solely on the basis of this information, net cash flow from operating activities is: 
A. $78,000.
B. $82,000.
C. $77,000.
D. $80,000.

127. At the end of the first year of operations, Meacham’s balance sheet showed the following: Accounts Receivable, $13,400; Inventory, $9,400; and Accounts Payable, $14,650. The company’s income statement reports net income of $37,400, including depreciation expense of $10,400. Using only the given information, compute Meacham’s net cash flow from operating activities using the indirect method. 
A. $65,250.
B. $39,650.
C. $24,350.
D. $26,650.