Q6 If a bank loan increases from period one to period two, what happened to cash?Select one:a. Cash increasedb. Cash remained the samec. None of the choicesd. Cash decreasedWto search

Solution: Bank loan brings the cash in and creates a liability to be paid in future. By this…

Answered: If a bank loan increases from period…

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter16: Statement Of Cash Flows

Section: Chapter Questions

Problem 8MC: What is the effect on cash when current liabilities increase? A. Cash increases by the same amount....

See similar textbooks

Similar questions

When cash is paid for rent, Rent Expense is ____. a. increased by a debit b. decreased by a debit c. increased by a credit d. decreased by a creditAnswer the question and explain why did you pick this answer
Which of the following options indicate how quickly accounts receivables are converted into cash? Select one: a. Total assets turnover b. Days to collect accounts receivable c. Working capital d. Accounts receivable turnover
Which side of the account increases the cash account? Select one: a. Debit b. Credit c. Either debit or credit d. Neither debit nor credit
Multiple choice: 1. If you sell on credit, your cash inflow depends very much on the A. Cash sales B. Agreements or unsecured accounts C. Collection of AR D. Age of receivables 2. Initial investment of the owner A. Fixed capital B. Working capital C. Capital structure D. Equity capital
4 45. Which of the following would result in an increase in cash? Select one: Oa. Inventory is purchased O b. Reducing accounts payable O c. Selling inventory on credit Od. A long-term bank loan is obtained
Which of the following is a cash outflow? Group of answer choices a. a new issue of bonds b. a decrease in accounts receivable c. an increase in plant d. an increase in accounts payable
4. How can interest earned or paid on short-termsecurities or loans be incorporated in the cashbudget?
Which one of the following will decrease the length of the cash cycle O a. Increase in inventory period O b. Increase in accounts receivable period C .Increase in accounts payable period d. Decrease in accounts payable period
If cash is collected at the sale:A.the operating cycle will be longer than if sold on creditB.the account payable will be decreased as a result of the saleC.the operating cycle will be shorter than if sold on creditD.the account receivable will be increased a a result of the sale
Increase in notes receivable is reported as ?cash flow from "operating" activities اخترأحد الخيارات a. False O b. True O
The cash cycle is longer than the operating cycle when Select one: a. Inventory period is positive b. Account receivable period is positive c. Account payable period is positive d. Receivable cannot be collected from customers e. None of the above answers is correct
QB) Choose the correct answer: 5. Temporary accounts would not include: Select one: a. Depreciation expense. b. Salaries payable. c. Cost of goods sold. d. Supplies expense. 6. Operating cash outflows would include: Select one: a. Purchases of inventory b. Purchase of equipment. c. Purchase of investments. d. Repayment of bank loan.

SEE MORE QUESTIONS

Recommended textbooks for you

Principles of Accounting Volume 1

Accounting

ISBN:

9781947172685

Author:

OpenStax

Publisher:

OpenStax College

Principles of Accounting Volume 1

Accounting

ISBN:

9781947172685

Author:

OpenStax

Publisher:

OpenStax College

SEE MORE TEXTBOOKS

If a bank loan increases from period one to period two, what happened to cash? Select one: a. Cash increased