Avatar Company is preparing its statement of cash flows using the indirect method. Refer to the following portion of the comparative balance sheet: Additional information provided by the company includes the following: 1)During 2014, the company repaid $35,000 of Long-Term Notes Payable.
"2)During 2014, the company borrowed $27,000 on a new Note Payable.
Based on the above information only, what amount of net cash flow would be shown in the financing section of the statement of cash flows?"
A)$(8,000)
B)$8,000
C)$62,000
D)$(62,000)

Question

Avatar Company is preparing its statement of cash flows using the indirect method. Refer to the following portion of the comparative balance sheet:  Additional information provided by the company includes the following: 1)During 2014, the company repaid $35,000 of Long-Term Notes Payable.
"2)During 2014, the company borrowed $27,000 on a new Note Payable.
Based on the above information only, what amount of net cash flow would be shown in the financing section of the statement of cash flows?"
A)$(8,000) 
B)$8,000 
C)$62,000 
D)$(62,000)

Quizplus · Accepted Answer

The Answer of Avatar Company is preparing its statement of cash flows using the indirect method. Refer to the following portion of the comparative balance sheet:  Additional information provided by the company includes the following: 1)During 2014, the company repaid $35,000 of Long-Term Notes Payable.
"2)During 2014, the company borrowed $27,000 on a new Note Payable.
Based on the above information only, what amount of net cash flow would be shown in the financing section of the statement of cash flows?"
A)$(8,000) 
B)$8,000 
C)$62,000 
D)$(62,000)

Avatar Company Is Preparing Its Statement of Cash Flows Using