In preparation for developing its statement of cash flows fo

In preparation for developing its statement of cash flows for the year ended December 31, 2018, Rapid Pac, Inc collected the following information ($ in millions) $ 65 Fair value of shares issued in a stock dividend Payment for the early extinguishment of long-term bonds (book value: $97 million) Proceeds from the sale of treasury stock (cost: $17 million) Gain on sale of land Proceeds from sale of land Purchase of Microsoft common stock Declaration of cash dividends Distribution of cash dividends declared in 2017 102 12 160 40 Required: 1. In Rapid Pac\'s statement of cash flows, what were net cash inflows (or outflows) from investing activities for 2018? 2. In Rapid Pac\'s statement of cash flows, what were net cash inflows (or outflows) from financing activities for 2018? Complete this question by entering your answers in the tabs below. Required 1Required 2 In Rapid Pac\'s statement of cash flows, what were net cash inflows (or outflows) from investing activities for 2018? (Amounts to be deducted should be indicated with a minus sign. Enter your answers in millions (i.e., 10,000,000 should be entered as ($ in millions) Cash Flows From Investing Activities Net cash inflows (outflows) from investing activities Required 1 Required 2>

Solution

ANS ($ IN MILLIONS)

CASH FLOWS FROM INVESTING ACTIVITIES

PURCHASE OF MICROSOFT COMMON STOCK (160)

PROCEEDS FROM SALE OF LAND 12  

NET CASH INFLOWS (OUTFLOWS) FROM INVESTING ACTIVITIES (148)  

CASH FLOWS FROM FINANCING ACTIVITIES

PAYMENT OF EARLY EXTINGUISHMENT OF LONG TERM BONDS (102)

PROCEEDS FROM SALE OF TREASURY STOCK 22

DISTRIBUTION OF CASH DIVIDENDS DECLARED IN 2017 40

NET CASH INFLOWS (OUTFLOWS) FROM FINANCING ACTIVITIES (40)