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What is the primary reason a company would issue new equity?
Which of the following is considered a financing activity?
Which of the following is a cash inflow from financing activities?
A company repays \$100,000 of its bonds payable and issues \$50,000 in cash dividends. What is the total cash outflow from financing activities?
A company pays \$10,000 in interest and \$40,000 in principal on a note payable. How should these payments be classified in the cash flow statement?
Given the following T-account information: Retained Earnings beginning balance \$100,000, net income \$30,000, dividends declared \$20,000, and ending balance \$110,000. Calculate the cash dividends paid if dividends payable increased by \$2,000.
If a company declares \$30,000 in dividends but only pays \$25,000, what amount is reported as a cash outflow in the cash flow statement?
Which of the following transactions would result in a cash inflow from financing activities?
What distinguishes dividends payable from other current liabilities?
A company has a beginning retained earnings balance of \$200,000, net income of \$50,000, and an ending retained earnings balance of \$220,000. If dividends payable increased by \$5,000 during the year, what is the cash payment of dividends?