Indicate in which section(s) of the statement of cash flows (or accompanying schedule) the preceding items would most likely be classified. After each itern affecting cash, indicate whether the item would be reported as an inflow or an outflow. If an item is not affected, select "Not affected". 1. Depreciation expense 2. Proceeds from sale of land at a gain 3. Decrease in accounts payable 4. Conversion of bonds to common stock 5. Payment of dividends, declared last fiscal year 6. Proceeds from issuance of short-term note payable, not relating to operating activities 7. Loss on cash sale of equipment 8. Payment for purchase of a building 9. Bond premium amortization using the effective interest method 10. Issuance of common stock to convert bonds payable

Indicate in which section(s) of the statement of cash flows (or accompanying schedule) the preceding items would most likely be classified. After each itern affecting cash, indicate whether the item would be reported as an inflow or an outflow. If an item is not affected, select "Not affected". 1. Depreciation expense 2. Proceeds from sale of land at a gain 3. Decrease in accounts payable 4. Conversion of bonds to common stock 5. Payment of dividends, declared last fiscal year 6. Proceeds from issuance of short-term note payable, not relating to operating activities 7. Loss on cash sale of equipment 8. Payment for purchase of a building 9. Bond premium amortization using the effective interest method 10. Issuance of common stock to convert bonds payable

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Indicate where each item would appear on a statement of cash flows using the indirect method by placing an X in the appropriate column(s). Note: More than one column may be used. a. Issued common stock for cash b. Prepaid expenses increased in the year c. Purchased treasury stock with cash d. Accounts receivable decreased in the year e. Inventory increased in the year f. Retired bonds payable by issuing stock g. Recorded depreciation expense h. Sold land in return for cash i. Income taxes payable increased in the year j. Sold merchandise to customer for cash Statement of Cash Flows Noncash Investing & Not Reported on Statement Operating Activities Investing Activities Financing Activities Financing Activities or in Notes
14. Which of the following would be classified as a financing activity on a statement of cash flows? Sale of a loan receivable Payment of interest to a creditor Payment of a bond payable Declaration and distribution of a stock dividend
Which of the following describes the operating activities as shown in the statement of cash flows? a. Includes increases and decreases in long-term assets b. Includes transactions that primarily impact current assets and current liabilities c. Shows the beginning and ending balance of cash d. Includes transactions affecting the capitalization of the business
If a company purchased avalaible for sale securities with cash, this would be reported on the statement of cash flows as? Select one: a. Financing Activities cash outflow b. Investing Activities cash outflow c. Financing Activities cash inflow d. Operating activities cash outflow
All classifications on the balance sheet have a general relationship with sections identified on the statement of cash flows. Indicate which relationships are correctly identified in the table below. Classification on the Number Balance Sheet Section on Statement of Cash Flows I Bonds Payable Financing II Equipment Operating III Common Stock Financing IV Accounts Payable Operating V Accounts Receivable Operating Multiple Choice О О I, II, III, IV, V IV, V I, II, III I, III, IV, V ह
Classifying Items in the Statement of Cash Flows The following items are commonly reported in a statement of cash flows (indirect method presentation). For each item 1 through 20, determine (a) in which section the item is presented (operating, investing, or financing) and (b) whether the associated dollar amount is added or subtracted in the statement. (a) (b) 1. Payments of short-term debt. Answer Answer 2. Repurchases of common stock. Answer Answer 3. Purchases of property and equipment. Answer Answer 4. Sale of investments classified as long-term. Answer Answer 5. Proceeds from the issuance of common stock. Answer Answer 6. Increase in prepaid expenses and other current assets. Answer Answer 7. Acquisition for cash of a competitor. Answer Answer 8. Increase in current income tax payable. Answer Answer 9. Decrease in accounts payable. Answer Answer 10. Dividends paid to stockholders. Answer Answer 11.…
Concept introduction: Cash flow statement: Cash Flow statement: The Cash flow statement shows the movement of cash during a particular period. The Cash flows are categorized into three categories as follows: * Cash flows from operating activities. * cash flows from investing activities. * Cash flows from financing activities. To choose: The false statement regarding the statement of cash flows.
Which of the following is reported as an investing activity in the statement of cash flows? The payment of interest on bonds The receipt of dividend revenue The payment of cash dividends The sale of machinery
On the statement of cash flows, the cash flows from financing activities section would include all of the following except Group of answer choices receipts from the sale of bonds payable payments for dividends payments for purchase of treasury stock payments of interest on bonds payable
The operating activities section of the Statement of Cash Flows includes everything except: Change in current liabilities Depreciation Change in current assets Cash flow from the payment of dividends
On the statement of cash flows, the cash flows from investing activities section would include a. payments for retirement of bonds payable b. receipts from the issuance of common stock c. payments for dividends d. receipts from the sale of investments
Indicate where each item would appear on a statement of cash flows using the indirect method by placing an X in the appropriate column(s). Note: More than one column may be used.