Cray Cray is a merchandiser of gag gifts. The? company’s net income for the prior year was? $13,200. The beginning Retained Earnings reported on the Balance Sheet was? $10,000. The ending Retained Earnings reported on the Balance Sheet was? $8,900. The company began the year with? $18,000 in cash. Cray? Cray's operating activities used? $2,130 more in cash than its operating activities provided during the period. The following additional transactions occurred during the? year:
?• An old piece of equipment was sold for? $1,500 cash.
?• 500 shares of common stock were issued at par for a total of? $1,000 in cash.
?• The Dividends Payable account balance was? $0 at the beginning and the end of the year.
Answer the following given the above? information:
1) The company is not operating within its means.
True
False
2) The investing activities provided more cash than the investing activities used.
True
False
3) The financing activities provided more cash than the financing activities used.
True
False
4) The? company’s ending cash balance reported on the Balance Sheet is $______. (enter the absolute value and commas where ?appropriate)