Homework Answers
| Company generates cash internally by its business operation | |||||||
| Business operation include cash inflow and outflow from business | |||||||
| This is reflected in cash flow from operating activities | |||||||
| Cash flow from financing activities is cash generated externally by raising debt and equity | |||||||
| Cash flow from investing activities arises through investment | |||||||
| Thus, cash flow from financing activities is correct answer | |||||||
| The given statement is true. | |||||||
| The increase in accounts payable represent that company has not paid cash to supplier and thus this increase is added to calculate cash flow from operating activities | |||||||
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Which section of the statement of cash flows represents cash generated internally? O Cash Flow from...
Question 8 (3 points) TRUE or FALSE When using the indirect approach to constructing a Statement...
Question 8 (3 points) TRUE or FALSE When using the indirect approach to constructing a Statement of Cash Flows (this is the only approach taught in FI 3300), an increase in Accounts payable from one accounting period to the next should be added. True False
On the Statement of Cash Flows, cash receipts from the sale of common stock of your...
On the Statement of Cash Flows, cash receipts from the sale of common stock of your company to investors are reported in the operating activities section. O investing activities section. financing activities section. O schedule of noncash investing and financing activities. Question 29 (2 points) On the statement of cash flows using the indirect method, patent amortization expense will O be added to net income in the operating section. be deducted from net income in the operating section. appear as...
Financial Information and Cash Flows Chapter 1 AS-13L04 Which items appear in the cash flow from...
Financial Information and Cash Flows Chapter 1 AS-13L04 Which items appear in the cash flow from operating activities section of the statement of cash flows using the indirect method? AS-14 LO Which items appear in the cash flow from investing activities section of the statement of cash flows? AS-15 LO Which items appear in the cash flow from financing activities section of the statement of cash flows? AS-16 LO What does a gain on the sale of equipment indicate? AS-17...
41. Depreciation on factory equipment would be reported in the statement of cash flows prepared by...
41. Depreciation on factory equipment would be reported in the statement of cash flows prepared by the indirect method in a. the cash flows from investing activities section. b. a separate schedule. c. the cash flows from operating activities section. d. the cash flows from financing activities section. 42. Which of the following should be added to net income in calculating net cash flow from operating activities using the indirect method? a decrease in accounts receivable preferred dividends declared and...
QUESTION 7 The appropriate section in the statement of cash flows for reporting the net income...
QUESTION 7 The appropriate section in the statement of cash flows for reporting the net income is: o Operating activities, O Financing activities. O Investing activities. O Schedule of noncash investing or financing activity O This is not reported on the statement of cash flows. QUESTION 8 The appropriate section in the statement of cash flows for reporting the issuance of common stock for cash is Operating activities. O Financing activities. O Investing activities. Schedule of noncash investing or financing...
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...
Match the section of the Cash Flow Statement with the activity it represents. Cash Flow from...
Match the section of the Cash Flow Statement with the activity it represents. Cash Flow from Operating Activities [Choose] [Choose] Day to day business operations Purchase and sale of long-term assets Activities to raise cash and pay back creditors and pay stockholders dividends Cash Flow from Investing Activities Cash Flow from Financing Activities [Choose) Determine how each activity is categorized and whether it is an inflow or outflow of cash. The sale of bonds (Select] [Select] [Select] Outflow Inflow The...
Wages paid in cash are shown in which section of the statement of cash flows? Multiple...
Wages paid in cash are shown in which section of the statement of cash flows? Multiple Choice O Investing activities. Schedule of noncash investing or financing activity. O Financing activities. This is not reported on the statement of cash flows. Operating activities.
The cash flows from financing activities is the section of the statement of cash flows where...
The cash flows from financing activities is the section of the statement of cash flows where cash transactions for the acquisition and sale of permanent assets are reported Select one: True False
Cash paid for interest on a loan is classified as a cash flow from financing activities...
Cash paid for interest on a loan is classified as a cash flow from financing activities in a statement of cash flows. Select one: True False Two different methods of determining and presenting the net cash flows from operating activities are the indirect method and the reconciliation method. Select one: True False The operating activities section of the statement of cash flows shows a reconciliation of net income to the net cash provided by operating activities amount under the direct...
Question 8 (3 points) TRUE or FALSE When using the indirect approach to constructing a Statement of Cash Flows (this is the only approach taught in FI 3300), an increase in Accounts payable from one accounting period to the next should be added. True False
On the Statement of Cash Flows, cash receipts from the sale of common stock of your company to investors are reported in the operating activities section. O investing activities section. financing activities section. O schedule of noncash investing and financing activities. Question 29 (2 points) On the statement of cash flows using the indirect method, patent amortization expense will O be added to net income in the operating section. be deducted from net income in the operating section. appear as...
Financial Information and Cash Flows Chapter 1 AS-13L04 Which items appear in the cash flow from operating activities section of the statement of cash flows using the indirect method? AS-14 LO Which items appear in the cash flow from investing activities section of the statement of cash flows? AS-15 LO Which items appear in the cash flow from financing activities section of the statement of cash flows? AS-16 LO What does a gain on the sale of equipment indicate? AS-17...
QUESTION 7 The appropriate section in the statement of cash flows for reporting the net income is: o Operating activities, O Financing activities. O Investing activities. O Schedule of noncash investing or financing activity O This is not reported on the statement of cash flows. QUESTION 8 The appropriate section in the statement of cash flows for reporting the issuance of common stock for cash is Operating activities. O Financing activities. O Investing activities. Schedule of noncash investing or financing...
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...
Match the section of the Cash Flow Statement with the activity it represents. Cash Flow from Operating Activities [Choose] [Choose] Day to day business operations Purchase and sale of long-term assets Activities to raise cash and pay back creditors and pay stockholders dividends Cash Flow from Investing Activities Cash Flow from Financing Activities [Choose) Determine how each activity is categorized and whether it is an inflow or outflow of cash. The sale of bonds (Select] [Select] [Select] Outflow Inflow The...
Wages paid in cash are shown in which section of the statement of cash flows? Multiple Choice O Investing activities. Schedule of noncash investing or financing activity. O Financing activities. This is not reported on the statement of cash flows. Operating activities.
The cash flows from financing activities is the section of the statement of cash flows where cash transactions for the acquisition and sale of permanent assets are reported Select one: True False
Cash paid for interest on a loan is classified as a cash flow from financing activities in a statement of cash flows. Select one: True False Two different methods of determining and presenting the net cash flows from operating activities are the indirect method and the reconciliation method. Select one: True False The operating activities section of the statement of cash flows shows a reconciliation of net income to the net cash provided by operating activities amount under the direct...
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