Exam 14: Statement of Cash Flows

Land costing $140,000 was sold for $173,000 cash. The gain on the sale was reported on the income statement as other income. On the statement of cash flows, what amount should be reported as an investing activity from the sale of land?

The order of presentation of activities on the statement of cash flows is

Income tax was $175,000 for the year. Income tax payable was $30,000 and $40,000 at the beginning and end of the year. Cash payments for income tax reported on the cash flow statement using the direct method is

The current period statement of cash flows includes the flowing: The cash balance at the end of the period is

Which of the following concepts of cash is not appropriate to use in preparing the statement of cash flows?

The last item on the statement of cash flows prior to the schedule of noncash investing and financing activities reports

Cash dividends of $50,000 were declared during the year. Cash dividends payable were $10,000 and $5,000 at the beginning and end of the year, respectively. The amount of cash for the payment of dividends during the year is

Equipment with an original cost of $75,000 and accumulated depreciation of $20,000 was sold at a loss of $7,000. As a result of this transaction, cash would

The cash flows from operating activities are reported by the direct method on the statement of cash flows. Determine the following:

On the statement of cash flows, the cash flows from financing activities section would include all of the following except

If a gain of $11,000 is realized in selling (for cash) office equipment having a book value of $55,000, the total amount reported in the cash flows from investing activities section of the statement of cash flows is

Preferred stock issued in exchange for land would be reported in the statement of cash flows in

On the basis of the following data for Larson Co. for the year ending December 31, 2011 and the preceding year ended December 31, 2010, prepare a statement of cash flows. Use the indirect method of reporting cash flows from operating activities. In addition to the balance sheet data, assume that: Equipment costing $125,000 was purchased for cash. Equipment costing $85,000 with accumulated depreciation of $65,000 was sold for $15,000. The stock was issued for cash. The only entries in the retained earnings account were net income of $51,000 and cash dividends declared of $13,000.

There are two alternatives to reporting cash flows from operating activities in the statement of cash flows: (1) the direct method and (2) the indirect method.

Cash dividends paid on capital stock would be reported in the statement of cash flows in

Financing activities include

Which one of the following below would not be classified as an operating activity?

The manner of reporting cash flows from investing and financing activities will be different under the direct method as compared to the indirect method.

State the section(s) of the statement of cash flows prepared by the indirect method (operating activities, investing activities, financing activities, or not reported) and the amount that would be reported for each of the following transactions: