Want answer Question: 11-25Gains on the cash sales of fixed assetsA) are the excess of the book value over the cash proceeds.B) are part of cash flows from operations.C) are reported on a net-of-tax basis if material.D) are the excess of the cash proceeds over the book value of the assets sold.

Explanation of Gain on Sale of Fixed Assets:Gains on the sale of fixed assets occur when an asset is…

Answered: Question: 11-25 Gains on the cash sales…

Financial Accounting: The Impact on Decision Makers

10th Edition

ISBN:9781305654174

Author:Gary A. Porter, Curtis L. Norton

Publisher:Gary A. Porter, Curtis L. Norton

Chapter10: Long-term Liabilities

Section: Chapter Questions

Problem 10.12E

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Q7
11In a cash flow statement, which one of the following would appear as an outflow of cash? Select one: a. An increase in debtors during the year. b. An increase creditor during the year. c. Depreciation charges on fixed assets. d. Loss on sale of a fixed asset. 12A credit balance on accruals account indicates? Select one: a. a liability and an expense owing. b. an asset and a prepayment of income. c. an asset and an accrual of income. d. a liability and an expense prepaid. 6ABC paid XYZ rent in advance for one year. By recording this payment ABC will reflect: Select one: a. An increase in assets and liabilities. b. An increase in assets and stockholder's equity. c. An increase in assets and decrease in liabilities. d. No change in total assets. 8Which of the following expenses will not be analyzed to administrative expenses in a published profit and loss account for a company? Select one: a. Bank charges and interest. b. Office expenses. c. General expenses. d. Managing Director…
Question Content Area The following information is available from the current period financial statements: Net income $102,978 Depreciation expense 26,870 Increase in accounts receivable 15,293 Decrease in accounts payable (29,031) The net cash flows from operating activities using the indirect method is
Which of the following is not added to net income as an adjustment to reconcile net income to cash from operating activities in the statement of cash flows? A. Increase in deferred tax asset B. Increase in an accrued liability C. Loss on sale of operational asset D. Amortization of discount on bond payable
19 What does the current ratio measure? Multiple Choice The relative proportion of current versus noncurrent assets Whether current assets are sufficient to pay current liabilities The speed which current assets can be converted to cash Whether cash is sufficient to pay current liabilities
What adjustment(s) should be made to reconcile net income to net cash flows from operating activities (indirect method) considering the following balances in current assets?
What are two ways to report a companys net cash flow from operating activities? Briefly describe each method.
Question Content Area The following information is available from the current period financial statements: Net income $102,978 Depreciation expense 26,870 Increase in accounts receivable 15,293 Decrease in accounts payable (29,031) The net cash flows from operating activities using the indirect method is a. $174,172 b. $85,524 c. $102,978 d. $31,784
Multiple-Choice Exercise 11-2 (Algorithmic) Which of the following would be classified as a cash outflow from an operating activity? Oa. Purchase of land Ob. Payment for salaries of employees Oc. Distribution of a stock dividend Od. Purchase of an investment
Problem 11-8A (Algo) Prepare an income statement using operating cash flow information-indirect and direct methods (LO11-3, 11-7) Cash flows from operating activities for both the indirect and direct methods are presented for Reverse Logic. All amounts are in thousands (000s). Cash Flows from Operating Activities (Indirect method) Net income Adjustments to reconcile net income to net cash flows from operating activities: Depreciation expense Increase in accounts receivable Decrease in inventory Increase in prepaid rent Decrease in accounts payable Decrease in income tax payable Net cash flows from operating activities Cash Flows from Operating Activities (Direct method) Cash received from customers Cash paid to suppliers Cash paid for operating expenses Cash paid for income taxes Net cash flows from operating activities REVERSE LOGIC Income Statement For the Year Ended December 31, 2024 Net sales Expenses: Cost of goods sold Operating expenses Depreciation expense Income tax expense…
B4.
Accounting Problem 2.45.76

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Question: 11-25 Gains on the cash sales of fixed assets A) are the excess of the book value over the cash proceeds. B) are part of cash flows from operations. C) are reported on a net-of-tax basis if material. D) are the excess of the cash proceeds over the book value of the assets sold.