When a company obtains cash from shareholders, returns cash to shareholders, borrows from creditors, and repays...
When a company obtains cash from shareholders, returns cash to shareholders, borrows from creditors, and repays amounts borrowed from creditors.
a. Activity Classification
b. Financing Activities
c. Operating Avtivities
d. Investing Activities
Homework Answers
Answer is option b. Financing activities
Financing activities includes procurement of funds ( loan fund and own fund) and repayment of funds.
Operating activities includes normal business activities in the company.
Investing activities includes investments made by the company in fixed assets , or investment in other company's shares. Etc.
Please comment if you have any doubt
Add Answer to:
When a company obtains cash from shareholders, returns cash to
shareholders, borrows from creditors, and repays...
A Company obtains land by issuing a note payable for the full purchase price to the...
A Company obtains land by issuing a note payable for the full purchase price to the seller. Where would this transaction be found in the statement of cash flows? Investing activities. Reconciliation of cash balance. Schedule of noncash investing or financing activity. Financing activities. : Operating activities.
Saved A company borrows $125.000 from the Northern Bank and receives the loan proceeds in cash....
Saved A company borrows $125.000 from the Northern Bank and receives the loan proceeds in cash. This represents ain): Multiple Choice Investing activity Expense activity 0 Revenue activity Operating activity Financing activity
Cash flows resulting from a company's normal earnings process are reported on the statement of cash...
Cash flows resulting from a company's normal earnings process are reported on the statement of cash flows in the: A) financing activities section B) investing activities section C) operating activities section D) noncash investing and financing activities section AND Which of the following activities is not correctly associated with its cash flow classification? A) Operating – Sale of merchandise for cash B) Financing - Sale of company’s Preferred Stock C) Investing – Purchase of Treasury Stock D) Operating – Purchase...
Why are gains and losses from asset sales removed from net income when calculating the cash...
Why are gains and losses from asset sales removed from net income when calculating the cash flows from operating activities? a. Selling assets is a noncash item. b. Gains and losses from asset sales are a financing activity. c. Gains and losses are not removed from net income when calculating the cash flows from operating activities d. The entire proceeds from sales of long-lived assets are included in investing activities.
1. Cash borrowed from another corporation would be reported in which section of the Statement of...
1. Cash borrowed from another corporation would be reported in which section of the Statement of Cash Flows? a. Operating Activities b. Investing Activities c Financing Activities d. This would not be reported on the Statement of Cash Flows. Depreciation is deducted when calculating cash outflows for operating expenses when using the direct method because: a. depreciation is not an expense we pay cash for. b. depreciation belongs in the cash outflows for financing activities. c. depreciation is an accrued...
Which of the following is a noncash investing and financing activity? payment of a cash dividend...
Which of the following is a noncash investing and financing activity? payment of a cash dividend payment of a six-month note payable purchase of merchandise inventory on account d i nce of common stock to acquire Land 10. A company purchases equipement for $32,000 cash. This transaction should be shown on the statement of cash flows under a investing activities h financing activities C oncach investing and financing activities d. operating activities 11. Cash flow per share is a required...
19. When preparing a statement of cash preparing a statement of cash loan (indirect methodl, which...
19. When preparing a statement of cash preparing a statement of cash loan (indirect methodl, which of the following is Hot an adjustm adjustment to reconcile net income to be cash vided by operating activities A) A change in income taxes payable B) A change in interest payable C) A change in dividends payable D) All of these are adjustments 20. When using the indirect method to prepare the operating section of a statement of cash llows, which of the...
1. When using the indirect method to determine operating cash flows, how is the amortization of...
1. When using the indirect method to determine operating cash flows, how is the amortization of bond discount shown on the Statement of Cash Flows? A. Operating activity as an addback item B. Operating activity as a subtract from item C. Investing activity D. Financing activity E. Not reported on statement of cash flows 2. When using the indirect method to determine operating cash flows, how is the equity method investment revenue in excess of dividends received shown on the...
Which activity must occur first when starting a new business? Select one: A. Investing activities B....
Which activity must occur first when starting a new business? Select one: A. Investing activities B. Operating activities C. Financing activities D. They must all occur simultaneously ---------------------------------------------------- Which of the following increases shareholders' equity? Select one: a. Recognizing cost of inventory sold to customers b. Loss on sale of land c. Declaration and payment of dividends d. Issuance of common stock e. Repurchase of the company's stock --------------------------------------------------- Which of the following is considered to be a financing activity...
Why is the statement of cash flows a useful document? What can creditors, investors, and other...
Why is the statement of cash flows a useful document? What can creditors, investors, and other users learn from an analysis of the cash flow statement? What are the advantages and disadvantage of having a large cash balance? Using the Apple company, analyze and report on the statement of cash flows. (Comment on operating, investing, and financing activities)
A Company obtains land by issuing a note payable for the full purchase price to the seller. Where would this transaction be found in the statement of cash flows? Investing activities. Reconciliation of cash balance. Schedule of noncash investing or financing activity. Financing activities. : Operating activities.
Saved A company borrows $125.000 from the Northern Bank and receives the loan proceeds in cash. This represents ain): Multiple Choice Investing activity Expense activity 0 Revenue activity Operating activity Financing activity
1. Cash borrowed from another corporation would be reported in which section of the Statement of Cash Flows? a. Operating Activities b. Investing Activities c Financing Activities d. This would not be reported on the Statement of Cash Flows. Depreciation is deducted when calculating cash outflows for operating expenses when using the direct method because: a. depreciation is not an expense we pay cash for. b. depreciation belongs in the cash outflows for financing activities. c. depreciation is an accrued...
Which of the following is a noncash investing and financing activity? payment of a cash dividend payment of a six-month note payable purchase of merchandise inventory on account d i nce of common stock to acquire Land 10. A company purchases equipement for $32,000 cash. This transaction should be shown on the statement of cash flows under a investing activities h financing activities C oncach investing and financing activities d. operating activities 11. Cash flow per share is a required...
19. When preparing a statement of cash preparing a statement of cash loan (indirect methodl, which of the following is Hot an adjustm adjustment to reconcile net income to be cash vided by operating activities A) A change in income taxes payable B) A change in interest payable C) A change in dividends payable D) All of these are adjustments 20. When using the indirect method to prepare the operating section of a statement of cash llows, which of the...
Most questions answered within 3 hours.
-
Why would natural selection not minimize costs (in the form of
symptoms) of evolved defenses? (choose...
asked 8 minutes ago -
What is true about a critical task?
Latest finish time - latest start time = 0...
asked 10 minutes ago -
A company uses a
process costing system. Its Assembly Department's beginning
inventory consisted of 56,800 units,...
asked 10 minutes ago -
a
sealed glass cylinder contains 325 g of N2 gas at 1.02 atm at 20 c....
asked 14 minutes ago -
The main difference between an equity and a nonequity alliance
is that
A
equity alliances are...
asked 12 minutes ago -
Need help with this, in JAVA, using netbeans. A
complete response will receive a positive comment...
asked 21 minutes ago -
An imprest petty cash fund of $600 was established for minor
disbursements. At the end of...
asked 26 minutes ago -
Sharpe Cutter is a small company that produces specialty knives
for paper cutting machinery. The annual...
asked 30 minutes ago -
Calculating the Ka of a weak acid from
pH:
The pH of a 0.68M solution of...
asked 31 minutes ago -
1.What process is pushing back against gravity in the very
center (the core) of sun-like stars?...
asked 51 minutes ago -
This question is from the textbook "Python for ArcGIS" by Laura
Tateosian:
Write a script "triangles.py"...
asked 50 minutes ago -
Which of the following is an impediment that makes it
difficult for firms to achieve the...
asked 51 minutes ago