Question 1

In a statement of cash flows,issuing bonds payable affects the:

Accepted Answer

A)  operating activities section. 
B)  financing activities section. 
C)  investing activities section. 
D)  free cash flow activities section. 
A)  operating activities section. 
B)  financing activities section. 
C)  investing activities section. 
D)  free cash flow activities section.

Question 2

Money received from issuing bonds payable would be included as part of a company's financing activities on the statement of cash flows.

Accepted Answer

A) True 
 B)False

Question 3

Stone Retail Corporation's most recent comparative Balance Sheet is as follows:
   Stone's net income was $46,000. No equipment was sold or purchased. Cash dividends of $40,000 were declared and paid. Stone uses the indirect method to prepare its statement of cash flows.
-What is Stone's net cash provided by (used in)financing activities?

Accepted Answer

A)  $(20,000) 
B)  $(15,000) 
C)  $5,000 
D)  $65,000 
A)  $(20,000) 
B)  $(15,000) 
C)  $5,000 
D)  $65,000

Question 4

Kaeser Corporation's most recent balance sheet appears below:
  The company's net income for the year was $52 and it did not sell or retire any property,plant,and equipment during the year.Cash dividends were $9.The net cash provided by (used in)investing activities for the year was:

Accepted Answer

A)  $17 
B)  $67 
C)  ($17) 
D)  ($67) 
A)  $17 
B)  $67 
C)  ($17) 
D)  ($67)

Question 5

An increase in the Inventory account from $10,000 at the beginning of the year to $15,000 at the end of the year would be shown on the statement of cash flows prepared under the indirect method as:

Accepted Answer

A)  an addition to net income of $5,000 in order to arrive at net cash provided by operating activities. 
B)  a deduction from net income of $5,000 in order to arrive at net cash provided by operating activities. 
C)  an addition to net income of $15,000 in order to arrive at net cash provided by operating activities. 
D)  a deduction from net income of $10,000 in order to arrive at net cash provided by operating activities. 
A)  an addition to net income of $5,000 in order to arrive at net cash provided by operating activities. 
B)  a deduction from net income of $5,000 in order to arrive at net cash provided by operating activities. 
C)  an addition to net income of $15,000 in order to arrive at net cash provided by operating activities. 
D)  a deduction from net income of $10,000 in order to arrive at net cash provided by operating activities.

Question 6

Tomlin Corporation prepares its statement of cash flows using the indirect method.Which of the following would be subtracted from net income in the operating activities section of the statement?

Accepted Answer

The answer of Tomlin Corporation prepares its statement of cash...

Question 7

When a company pays a supplier for inventory it has purchased,the cash outflow is recorded in the investing activities section of the statement of cash flows.

Accepted Answer

A) True 
 B)False

Question 8

Suggett Corporation's net cash provided by operating activities was $34; its income taxes were $12; its capital expenditures were $24; and its cash dividends were $7.The company's free cash flow was:

Accepted Answer

A)  $(19) 
B)  $77 
C)  $3 
D)  $15 
A)  $(19) 
B)  $77 
C)  $3 
D)  $15

Question 9

The most recent balance sheet and income statement of Penaloza Corporation appear below:
     The company paid a cash dividend of $18. It did not dispose of any property, plant, and equipment. The company did not retire any bonds payable or repurchase any of its own common stock. The following questions pertain to the company's statement of cash flows.
-The net cash provided by (used in)financing activities for the year was:

Accepted Answer

A)  $(18) 
B)  $5 
C)  $(5) 
D)  $8 
A)  $(18) 
B)  $5 
C)  $(5) 
D)  $8

Question 10

When a company pays cash to repurchase its own common stock,this is reported as a cash outflow in the financing activities section of the statement of cash flows.

Accepted Answer

A) True 
 B)False

Question 11

Financial statements of Rukavina Corporation follow:
     Cash dividends were $8. The company did not dispose of any property, plant, and equipment. It did not issue any bonds payable or repurchase any of its own common stock. The following questions pertain to the company's statement of cash flows.
-The net cash provided by (used in)investing activities for the year was:

Accepted Answer

A)  $26 
B)  $15 
C)  $(26) 
D)  $(15) 
A)  $26 
B)  $15 
C)  $(26) 
D)  $(15)

Question 12

Stone Retail Corporation's most recent comparative Balance Sheet is as follows:
   Stone's net income was $46,000. No equipment was sold or purchased. Cash dividends of $40,000 were declared and paid. Stone uses the indirect method to prepare its statement of cash flows.
-What is Stone's net cash provided by (used in)investing activities?

Accepted Answer

A)  $0 
B)  $(15,000) 
C)  $25,000 
D)  $45,000 
A)  $0 
B)  $(15,000) 
C)  $25,000 
D)  $45,000

In a statement of cash flows,issuing bonds payable affects the:

Money received from issuing bonds payable would be included as part of a company's financing activities on the statement of cash flows.

Kaeser Corporation's most recent balance sheet appears below: The company's net income for the year was $52 and it did not sell or retire any property,plant,and equipment during the year.Cash dividends were $9.The net cash provided by (used in)investing activities for the year was:

An increase in the Inventory account from $10,000 at the beginning of the year to $15,000 at the end of the year would be shown on the statement of cash flows prepared under the indirect method as:

Tomlin Corporation prepares its statement of cash flows using the indirect method.Which of the following would be subtracted from net income in the operating activities section of the statement?

When a company pays a supplier for inventory it has purchased,the cash outflow is recorded in the investing activities section of the statement of cash flows.

Suggett Corporation's net cash provided by operating activities was $34; its income taxes were $12; its capital expenditures were $24; and its cash dividends were $7.The company's free cash flow was:

When a company pays cash to repurchase its own common stock,this is reported as a cash outflow in the financing activities section of the statement of cash flows.

Managerial Accounting and Cost Concepts

Job-Order Costing: Calculating Unit Production Costs

Job-Order Costing: Cost Flows and External Reporting

Process Costing

Cost-Volume-Profit Relationships

Variable Costing and Segment Reporting: Tools for Management

Super-Variable Costing

Master Budgeting

Flexible Budgets and Performance Analysis

Standard Costs and Variances

Performance Measurement in Decentralized Organizations

Differential Analysis: The Key to Decision Making

Capital Budgeting Decisions

Financial Statement Analysis

Cost of Quality

Activity-Based Absorption Costing

The Predetermined Overhead Rate and Capacity

Job-Order Costing: a Microsoft Excel-Based Approach

Fifo Method

Service Department Allocations

Analyzing Mixed Costs

Time-Driven Activity-Based Costing: a Microsoft Excel-Based Approach

Predetermined Overhead Rates and Overhead Analysis in a Standard Costing System

Standard Cost Systems: a Financial Reporting Perspective Using Microsoft Excel

Transfer Pricing

Service Department Charges

Pricing Decisions

The Concept of Present Value

Income Taxes and the Present Value Method

the Direct Method of Determining the Net Cash Provided by Operating Activities

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Exam 14: Statement of Cash Flows

In a statement of cash flows,issuing bonds payable affects the:

Money received from issuing bonds payable would be included as part of a company's financing activities on the statement of cash flows.

Kaeser Corporation's most recent balance sheet appears below: The company's net income for the year was $52 and it did not sell or retire any property,plant,and equipment during the year.Cash dividends were $9.The net cash provided by (used in)investing activities for the year was:

An increase in the Inventory account from $10,000 at the beginning of the year to $15,000 at the end of the year would be shown on the statement of cash flows prepared under the indirect method as:

Tomlin Corporation prepares its statement of cash flows using the indirect method.Which of the following would be subtracted from net income in the operating activities section of the statement?

When a company pays a supplier for inventory it has purchased,the cash outflow is recorded in the investing activities section of the statement of cash flows.

Suggett Corporation's net cash provided by operating activities was $34; its income taxes were $12; its capital expenditures were $24; and its cash dividends were $7.The company's free cash flow was:

When a company pays cash to repurchase its own common stock,this is reported as a cash outflow in the financing activities section of the statement of cash flows.

Managerial Accounting and Cost Concepts

Job-Order Costing: Calculating Unit Production Costs

Job-Order Costing: Cost Flows and External Reporting

Process Costing

Cost-Volume-Profit Relationships

Variable Costing and Segment Reporting: Tools for Management

Super-Variable Costing

Master Budgeting

Flexible Budgets and Performance Analysis

Standard Costs and Variances

Performance Measurement in Decentralized Organizations

Differential Analysis: The Key to Decision Making

Capital Budgeting Decisions

Financial Statement Analysis

Cost of Quality

Activity-Based Absorption Costing

The Predetermined Overhead Rate and Capacity

Job-Order Costing: a Microsoft Excel-Based Approach

Fifo Method

Service Department Allocations

Analyzing Mixed Costs

Time-Driven Activity-Based Costing: a Microsoft Excel-Based Approach

Predetermined Overhead Rates and Overhead Analysis in a Standard Costing System

Standard Cost Systems: a Financial Reporting Perspective Using Microsoft Excel

Transfer Pricing

Service Department Charges

Pricing Decisions

The Concept of Present Value

Income Taxes and the Present Value Method

the Direct Method of Determining the Net Cash Provided by Operating Activities

Filters