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Selected information from Herisau Corporation's accounting records and financial statements for 2021 is as follows ($ in millions): Cash paid to retire notes $ 90 Common shares acquired for treasury 150 Proceeds from issuance of preferred stock 210 Proceeds from issuance of subordinated bonds 270 Cash dividends paid on preferred stock 75 Cash interest paid to bondholders 105 In its statement of cash flows, Herisau should report net cash inflows from financing activities of:

Respuesta :

Answer:

$165

Explanation

The net cash flows from financing activities is the difference between the cash inflows received from finance providers and cash outflows paid to them as shown below:

Net cash flow from financing activities=proceeds from preferred stock+proceeds from subordinated bonds-cash paid for common stock retirement-cash dividends-cash paid to retire notes

Net cash flow from financing activities=$210+$270-$150-$75-$90=$165