This is the cash received from the sale of stock. The sale of stock was not the only financing activity that took place. This includes the cash received from the sale of available-for-sale securities. The sale of securities is an investing activity, not a financing activity. This is the cash paid for dividends. Cash paid for dividends was not the only financing activity that took place. Cash flow from financing activities included $800,000 cash inflow from sale of stock and $80,000 cash outflow for dividends. Net cash flow from financing activities was therefore $800,000 ? $80,000 = $720,000.
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