On January 1,2014,Sudan Company purchased investment securities costing $4,000 and classified them as trading securities.During 2014,Sudan Company sold a portion of these trading securities with a cost of $1,800 for $1,500.The market value of the remainder of these trading securities at December 31,2014,was $1,400.Sudan prepares its statement of cash flows using the indirect method. Which of the following represents the effect of these transactions on the statement of cash flows for Sudan Company for the year ending December 31,2014?
Operating Activities Investing Activities
A) $2,200 decrease No effect
B) $1,400 decrease No effect
C) $200 increase $1,500 decrease
D) $300 increase $1,500 decrease
Correct Answer:
Verified
Q53: The market rate of interest for a
Q54: When an investor purchases sufficient common stock
Q55: When an enterprise increases its interest in
Q56: An investor that uses the equity method
Q57: Which of the following is true regarding
Q59: A firm purchased bonds to be classified
Q60: The following information relates to Bower Company's
Q61: Fennel owned 40 percent of Actual's common
Q62: The following transactions of the Macheski Company
Q63: On February 1,2014,Andover Inc.had excess cash on
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents