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Johnson Company Engaged in the Following Transactions During 2010: 1

Question 53

Multiple Choice

Johnson Company engaged in the following transactions during 2010: 1. Johnson wrote off an open receivable as uncollected.
2) Johnson purchased a piece of plant equipment
3) Johnson reacquired 5,000 shares of its common stock.
4) Johnson sold a building at a loss in exchange for a five-year note.
5) Johnson declared, but did not pay a cash dividend.
Which of these transactions or parts of these transactions would be included in the financing activity section of the statement of cash flows?


A) Transactions 2 and 4.
B) Transactions 2 through 5
C) Transaction 3
D) None of these choices are correct.

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