Retall Company refinanced its long-term debt in 2012.It bought and retired common shares of stock for cash of $20,000.The company spent $72,500 to retire long-term debt due in 3 years and issued $185,000 of 10-year bonds at par.Interest expense for 2012 was $21,000,of which $17,000 was paid in cash; the other $4,000 was still payable at the end of the year.Dividends declared and paid during the year were $12,500.Determine net cash flows from financing activities.

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The Answer of Retall Company refinanced its long-term debt in 2012.It bought and retired common shares of stock for cash of $20,000.The company spent $72,500 to retire long-term debt due in 3 years and issued $185,000 of 10-year bonds at par.Interest expense for 2012 was $21,000,of which $17,000 was paid in cash; the other $4,000 was still payable at the end of the year.Dividends declared and paid during the year were $12,500.Determine net cash flows from financing activities.

Retall Company Refinanced Its Long-Term Debt in 2012