Question 1

The net cash provided by (used in)investing activities for the year was:

Accepted Answer

A) $57 
B) $(57) 
C) $33 
D) $(33) 
A) $57 
B) $(57) 
C) $33 
D) $(33)

Question 2

On its statement of cash flows, what amount should Howard show for its net sales adjusted to a cash basis (i.e., cash received from sales)?

Accepted Answer

A) $616,000 
B) $623,000 
C) $625,000 
D) $595,000 
A) $616,000 
B) $623,000 
C) $625,000 
D) $595,000

Question 3

Reven Corporation prepares its statement of cash flows using the direct method.Last year, Reven reported Income Tax Expense of $25,000.At the beginning of last year, Reven had a $5,000 balance in the Income Taxes Payable account.At the end of last year, Reven had a $9,000 balance in the account.On its statement of cash flows for last year, what amount should Reven have shown for its Income Tax Expense adjusted to a cash basis (i.e., income taxes paid)?

Accepted Answer

A) $29,000 
B) $21,000 
C) $25,000 
D) $4,000 
A) $29,000 
B) $21,000 
C) $25,000 
D) $4,000

Question 4

On the statement of cash flows, the cost of goods sold adjusted to a cash basis would be:

Accepted Answer

A) $360,000 
B) $350,000 
C) $370,000 
D) $381,000 
A) $360,000 
B) $350,000 
C) $370,000 
D) $381,000

Question 5

During the year the balance in the Accounts Receivable account increased by $6,000.In order to adjust the company's net income to a cash basis using the direct method on the statement of cash flows, it would be necessary to:

Accepted Answer

A) subtract the $6,000 from the sales revenue reported on the income statement. 
B) add the $6,000 to the sales revenue reported on the income statement. 
C) subtract the $6,000 from the cost of goods sold reported on the income statement. 
D) add the $6,000 to the cost of goods sold reported on the income statement. 
A) subtract the $6,000 from the sales revenue reported on the income statement. 
B) add the $6,000 to the sales revenue reported on the income statement. 
C) subtract the $6,000 from the cost of goods sold reported on the income statement. 
D) add the $6,000 to the cost of goods sold reported on the income statement.

Question 6

On the statement of cash flows, the sales adjusted to a cash basis would be:

Accepted Answer

A) $700,000 
B) $688,000 
C) $677,000 
D) $712,000 
A) $700,000 
B) $688,000 
C) $677,000 
D) $712,000

Question 7

The net cash provided by (used in)financing activities for the year was:

Accepted Answer

A) $(19) 
B) $(53) 
C) $1 
D) $(71) 
A) $(19) 
B) $(53) 
C) $1 
D) $(71)

Question 8

The net cash provided by (used in)financing activities for the year was:

Accepted Answer

A) $(44) 
B) $(71) 
C) $2 
D) $(29) 
A) $(44) 
B) $(71) 
C) $2 
D) $(29)

Question 9

Last year Anderson Corporation reported a cost of goods sold of $100,000.The company's inventory at the beginning of the year was $11,000, and its inventory at the end of the year was $19,000.The prepaid expense account increased by $2,000 between the beginning and end of the year, and the accounts payable account decreased by $4,000.Cost of goods sold adjusted to the cash basis under the direct method would be:

Accepted Answer

A) $94,000 
B) $106,000 
C) $112,000 
D) $110,000 
A) $94,000 
B) $106,000 
C) $112,000 
D) $110,000

Question 10

Harkey Corporation's balance sheet and income statement appear below:     Cash dividends were $29.The company sold equipment for $15 that was originally purchased for $6 and that had accumulated depreciation of $2.

Required:
Using the direct method, determine the net cash provided by (used in)operating activities.

Accepted Answer

The answer of Harkey Corporation's balance sheet and income statement...

Question 11

On the statement of cash flows, the selling and administrative expense adjusted to a cash basis would be:

Accepted Answer

A) $201,000 
B) $166,000 
C) $254,000 
D) $210,000 
A) $201,000 
B) $166,000 
C) $254,000 
D) $210,000

Question 12

Crossland Corporation reported sales on its income statement of $435,000.On the statement of cash flows, which used the direct method, sales adjusted to a cash basis were $455,000.Crossland Corporation reported the following account balances on its balance sheet for the year:    Based on this information, the beginning balance in accounts receivable was:

Accepted Answer

A) $50,000 
B) $40,000 
C) $30,000 
D) $20,000 
A) $50,000 
B) $40,000 
C) $30,000 
D) $20,000

Question 13

Using the direct method, sales adjusted to a cash basis would be:

Accepted Answer

A) $300,000 
B) $302,000 
C) $298,000 
D) $305,000 
A) $300,000 
B) $302,000 
C) $298,000 
D) $305,000

Question 14

The net cash provided by (used in)financing activities would be:

Accepted Answer

A) $(8,000) 
B) $(13,000) 
C) $20,000 
D) $(3,000) 
A) $(8,000) 
B) $(13,000) 
C) $20,000 
D) $(3,000)

Question 15

Freeport Corporation's income statement for last year appears below:   The beginning and ending balances for last year are available for the following selected accounts (the company did not dispose of any property, plant, and equipment during the year):

Required:
Using the direct method, prepare in good form the operating activities section of the statement of cash flows.

Accepted Answer

The answer of Freeport Corporation's income statement for last year...

Question 16

The selling and administrative expense adjusted to a cash basis would be:

Accepted Answer

A) $120,000 
B) $106,000 
C) $110,000 
D) $112,000 
A) $120,000 
B) $106,000 
C) $110,000 
D) $112,000

The net cash provided by (used in)investing activities for the year was:

On its statement of cash flows, what amount should Howard show for its net sales adjusted to a cash basis (i.e., cash received from sales)?

On the statement of cash flows, the cost of goods sold adjusted to a cash basis would be:

During the year the balance in the Accounts Receivable account increased by $6,000.In order to adjust the company's net income to a cash basis using the direct method on the statement of cash flows, it would be necessary to:

On the statement of cash flows, the sales adjusted to a cash basis would be:

The net cash provided by (used in)financing activities for the year was:

The net cash provided by (used in)financing activities for the year was:

On the statement of cash flows, the selling and administrative expense adjusted to a cash basis would be:

Using the direct method, sales adjusted to a cash basis would be:

The net cash provided by (used in)financing activities would be:

The selling and administrative expense adjusted to a cash basis would be:

Managerial Accounting and Cost Concepts

Job-Order Costing: Calculating Unit Product Costs

Job-Order Costing: Cost Flows and External Reporting

Activity-Based Costing

Process Costing6 Cost-Volume-Profit Relationships

Cost-Volume-Profit Relationships

Variable Costing and Segment Reporting: Tools for Management

Master Budgeting

Performance Measurement in Decentralized Organizations

Differential Analysis: The Key to Decision Making

Capital Budgeting Decisions

Flexible Budgets Standard Costs and Variance Analysis

Statement of Cash Flows

Financial Statement Analysis

Job-Order Costing: Cost Flows and External Reporting

Process Costing6 Cost-Volume-Profit Relationships

Cost-Volume-Profit Relationships

Flexible Budgets, Standard Costs, and Variance Analysis

Flexible Budgets, Standard Costs, and Variance Analysis

A Capital Budgeting Decisions

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Exam 21: A Statement of Cash Flows

The net cash provided by (used in)investing activities for the year was:

On its statement of cash flows, what amount should Howard show for its net sales adjusted to a cash basis (i.e., cash received from sales)?

On the statement of cash flows, the cost of goods sold adjusted to a cash basis would be:

During the year the balance in the Accounts Receivable account increased by $6,000.In order to adjust the company's net income to a cash basis using the direct method on the statement of cash flows, it would be necessary to:

On the statement of cash flows, the sales adjusted to a cash basis would be:

The net cash provided by (used in)financing activities for the year was:

The net cash provided by (used in)financing activities for the year was:

On the statement of cash flows, the selling and administrative expense adjusted to a cash basis would be:

Using the direct method, sales adjusted to a cash basis would be:

The net cash provided by (used in)financing activities would be:

The selling and administrative expense adjusted to a cash basis would be:

Managerial Accounting and Cost Concepts

Job-Order Costing: Calculating Unit Product Costs

Job-Order Costing: Cost Flows and External Reporting

Activity-Based Costing

Process Costing6 Cost-Volume-Profit Relationships

Cost-Volume-Profit Relationships

Variable Costing and Segment Reporting: Tools for Management

Master Budgeting

Performance Measurement in Decentralized Organizations

Differential Analysis: The Key to Decision Making

Capital Budgeting Decisions

Flexible Budgets Standard Costs and Variance Analysis

Statement of Cash Flows

Financial Statement Analysis

Job-Order Costing: Cost Flows and External Reporting

Process Costing6 Cost-Volume-Profit Relationships

Cost-Volume-Profit Relationships

Flexible Budgets, Standard Costs, and Variance Analysis

Flexible Budgets, Standard Costs, and Variance Analysis

A Capital Budgeting Decisions

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