The Natural Company's cash balance at December 31, 2019, was $150,000. The following information was reported on the company's statement of cash flows for 2020:

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The Natural Company's balance sheet would report the balance of Cash on December 31, 2020.

Question

The Natural Company's cash balance at December 31, 2019, was $150,000. The following information was reported on the company's statement of cash flows for 2020:
 
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The Natural Company's balance sheet would report the balance of Cash on December 31, 2020.

Quizplus · Accepted Answer

The statement of cash flows shows that the company had cash inflows of $258,000 during the year and cash outflows of $140,000. Adding the cash balance at the beginning of the year, the company's ending cash balance would be ($150,000 + $258,000 - $140,000) = $134,000. Therefore, the balance sheet would report cash balance of $134,000 at December 31, 2020.

The Natural Company's Cash Balance at December 31, 2019, Was