Pursley, Inc A) a Above
B) B Above
C) C Above
D)

Multiple Choice

Pursley, Inc. owns 70 percent of Harry, Inc. The consolidated income statement for a year reports $50,000 Noncontrolling Interest in Harry, Inc. Income. Harry paid dividends in the amount of $80,000 for the year. What are the effects of these transactions in the consolidated statement of cash flows for the year? $$\begin{array} { | l | l | l | } \hline & \text { Financing Activities } & \text { Operating Activities } \\\hline \text { A) } & \text { Increased by } \$ 24,000 & \text { Increased by } \$ 15,000 \\\hline \text { B) } & \text { Decreased by } \$ 15,000 & \text { Unaffected } \\\hline \text { C) } & \text { Unaffected } & \text { Decreased by } \$ 15,000 \\\hline \text { D) } & \text { Decreased by } \$ 24,000 & \text { Unaffected } \\\hline \text { E) } & \text { Unaffected } & \text { Increased by } \$ 24,000 \\\hline\end{array}$$

A) A Above
B) B Above
C) C Above
D) D Above
E) E Above