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The balance sheets for Pear Corp. indicated $8,640 in Common Stock and Paid-In Capital as of 12/31/10 and $9,336 in those accounts as of 12/31/11. During 2011, Pear paid $555 in dividends to shareholders. The firm's Cash Flow to Stockholders during 2011 was $___________.

Respuesta :

TomShelby

Answer:

the net cash flow will be negative for the amount of $141 this means the stockholders contributed to the firm with cash rather than the firm providing cash for them.

Explanation:

cash inflow:

555 cash idividends

cash outflow:

9,336 ending capitalization - 8,640 beginning capitalization = 696

the stockholder purchases shares for that amount.

net: -141

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