Exam 11: The Statement of Cash Flows

If $10,000 was generated from operations,$4,000 was used for investing activities and $6,000 was generated from financing activities,the cash balance must have increased by:

(Multiple Choice)

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Question 101

Which of the following is NOT a source of cash for a business?

(Multiple Choice)

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Question 102

Most businesses prefer to use the indirect method of formatting a Statement of Cash Flows.

(True/False)

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Question 103

The direct method of formatting a Statement of Cash Flows starts with net income.

(True/False)

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Question 104

Records for Serenity Sounds show net income of $30,000;depreciation expense of $10,000;and cash dividends paid of $5,000.The cash flow from operating activities on the cash flow statement using the indirect method is:

(Multiple Choice)

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Question 105

Gains and losses do not represent Cash Flows.

(True/False)

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Question 106

The cash conversion cycle represents the number of days the cash is "tied up" in the operating activities of the business.

(True/False)

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Question 107

The formula for free cash flow is anticipated cash from operations minus cash payments for investments in long-term assets.

(True/False)

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Question 108

A transaction involving the exchange of stock for equipment would be recorded as a(n):

(Multiple Choice)

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Question 109

From the Income Statement and Balance Sheet information listed below,what amount of cash was paid for salaries and wages during 2012?

(Multiple Choice)

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Question 110

Investing activities do NOT include:

(Multiple Choice)

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Question 111

Exchanging stock for a building under the direct method would be reported:

(Multiple Choice)

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Question 112

The sum of the net increases/decreases in the operating,investing and financing sections of the cash flow statement is equal to the change in cash over the period.

(True/False)

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Question 113

The cost of purchasing long-term assets,such as buildings and land,are:

(Multiple Choice)

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Question 114

The cash conversion cycle depends upon the time it takes to sell merchandise inventory,to collect receivables and to pay payables.

(True/False)

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Question 115

The Statement of Cash Flows is prepared to show why the cash amount changed from the beginning of the period to the end of the period.

(True/False)

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Question 116

A transaction that exchanged a building for shares of stock would be an investing activity and would appear on the cash flow statement.

(True/False)

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Question 117

The difference between the direct and indirect methods is the format of the financing section.

(True/False)

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Question 118

Crazy Collectibles has average Accounts Payable of $5,000 and cost of goods sold of $25,000;the Accounts Payable payment period for CC is 73 days.

(True/False)

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Question 119

Which of the following is NOT a use of cash for a business?

(Multiple Choice)

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Question 120

Showing 101 - 120 of 133

If $10,000 was generated from operations,$4,000 was used for investing activities and $6,000 was generated from financing activities,the cash balance must have increased by:

Which of the following is NOT a source of cash for a business?

Most businesses prefer to use the indirect method of formatting a Statement of Cash Flows.

The direct method of formatting a Statement of Cash Flows starts with net income.

Records for Serenity Sounds show net income of $30,000;depreciation expense of $10,000;and cash dividends paid of $5,000.The cash flow from operating activities on the cash flow statement using the indirect method is:

Gains and losses do not represent Cash Flows.

The cash conversion cycle represents the number of days the cash is "tied up" in the operating activities of the business.

The formula for free cash flow is anticipated cash from operations minus cash payments for investments in long-term assets.

A transaction involving the exchange of stock for equipment would be recorded as a(n):

From the Income Statement and Balance Sheet information listed below,what amount of cash was paid for salaries and wages during 2012?

Investing activities do NOT include:

Exchanging stock for a building under the direct method would be reported:

The sum of the net increases/decreases in the operating,investing and financing sections of the cash flow statement is equal to the change in cash over the period.

The cost of purchasing long-term assets,such as buildings and land,are:

The cash conversion cycle depends upon the time it takes to sell merchandise inventory,to collect receivables and to pay payables.

The Statement of Cash Flows is prepared to show why the cash amount changed from the beginning of the period to the end of the period.

A transaction that exchanged a building for shares of stock would be an investing activity and would appear on the cash flow statement.

The difference between the direct and indirect methods is the format of the financing section.

Crazy Collectibles has average Accounts Payable of $5,000 and cost of goods sold of $25,000;the Accounts Payable payment period for CC is 73 days.

Which of the following is NOT a use of cash for a business?

Business, Accounting, and You

Analyzing and Recording Business Transactions

Adjusting and Closing Entries

Accounting for a Merchandising Business

Inventory

The Challenges of Accounting: Standards, internal Control, audits, fraud, and Ethics

Cash and Receivables

Long-Term and Other Assets

Current Liabilities and Long-Term Debt

Corporations: Paid-In Capital and Retained Earnings

Financial Statement Analysis

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