Cash Receipts and Cash Payments
The accountant for Alpine Hobby Stores prepared the following selected information for the year ended December 31, 2008:
|
|
Dec 31, 2008 |
Dec 31, 2007 |
|
(a) Equipment |
$35,000 |
$40,000 |
|
(b) Accumulated Depreciation |
11,000 |
9,500 |
|
(c) Long Term Debt |
13,000 |
20,000 |
|
(d) Common Stock |
20,000 |
15,000 |
Equipment with a book value of $20,000 was sold for $17,000 cash. The original cost of the equipment was $25,000. Determine the cash inflows and outflows during 2008 associated with each of the accounts listed. Indicate how the cash flows for each item would be presented on the statement of cash flows.