Question 4 An entity purchased a building and paid partly in equity shares and partly in debentures. The transaction shall be treated as which of the following? A The purchase of the building is investing and the issuance of shares and debentures is financing. (B) The purchase of the building is investing and the issuance of shares and debentures is not reported. с The transaction shall be disclosed only in the notes. The transaction shall be ignored totally. Question 5 The statement of cash flows reports all, except: (A) the net change in cash for the period (B) the cash flows from operations during the period C the free cash flow generated during the period (D) investing transactions Question 6 An entity that changed from cash basis to accrual basis of accounting during the current year should report: A prior period adjustment resulting from the correction of an error. prior period adjustment resulting from the change in accounting policy. (C) component of income from continuing operations. D) component of income from discontinued operations.

Question 4 An entity purchased a building and paid partly in equity shares and partly in debentures. The transaction shall be treated as which of the following? A The purchase of the building is investing and the issuance of shares and debentures is financing. (B) The purchase of the building is investing and the issuance of shares and debentures is not reported. с The transaction shall be disclosed only in the notes. The transaction shall be ignored totally. Question 5 The statement of cash flows reports all, except: (A) the net change in cash for the period (B) the cash flows from operations during the period C the free cash flow generated during the period (D) investing transactions Question 6 An entity that changed from cash basis to accrual basis of accounting during the current year should report: A prior period adjustment resulting from the correction of an error. prior period adjustment resulting from the change in accounting policy. (C) component of income from continuing operations. D) component of income from discontinued operations.

Cornerstones of Financial Accounting

4th Edition

ISBN:9781337690881

Author:Jay Rich, Jeff Jones

Publisher:Jay Rich, Jeff Jones

Chapter1: Accounting And The Financial Statements

Section: Chapter Questions

Problem 28BE: Brief 1-28 Statement of Cash Flows Listed are items that would on a Statement of cash flows. Cash...

See similar textbooks

Similar questions

Cash borrowed on a mortgage note is a(n) ________ activity on the statement of cash flows. Question content area bottom Part 1 A. operating B. investing C. financing D. noncash investing and financing
Which section of the statement of cash flows shows cash inflows and outflows from the issue and repayment of loans? A. Fiancing B. Operating C. Investing D. None of the Above
Under ASPE the receipt of interest on loans would be reported on a statement of cash flows under www.OA. investing activities OB. operating activities OC. financing activities OD. no activities because interest received on loans would not be reported on a statement of cash flows
Interest payments to creditors are reported in a statement of cash flows as Select one: a. An operating activity b. An investing activity c. A borrowing activity d. A financing activity
QUESTION 6 Which of the fotowing is considered a fnancing activity when preparing the statement of cash flows? A) cash payment for the purchase of equpment BỊ cash payment for extonding credit to others C) caah recelpt from the sale of common stock D) payment of interest on a bond issue
Q3 Classify the below Transactions according to Cash Flow Section • Sale of non-current asset Payment for rent Purchase of inventory Repayment of a bank loan • Depreciation • Cash received from debtors Payments to suppliers
Classifying cash flows Obj. 1Identify whether each of the following would be reported as an operating, investing, or financing activity on the statement of cash flows: Purchase of investments Disposal of equipment Payment for selling expenses Collection of accounts receivable Cash sales Issuance of bonds payable
Cash received from the issuance of notes payable is a(n) ________ activity on the statement of cash flows. A operating B financing C investing D non-cash investing and financing
Identify the section of the statement of cash flows (a–d) where each of the following items would be reported.a. Operating activitiesb. Financing activitiesc. Investing activitiesd. Schedule of noncash financing and investing Increase in income taxes payable Where does this will be on the cash flow statement ?
1. which of the following transactions will result in the increase and decrease in liability? a. payment of loan by installmentb. borrowed money from the bankc. issued a promissory note in payment of a liabilityd. request for an extension of the date of payment 2. a statement which shows where the money of the business is obtained and used? a. statement of financial positionb. statement of cash flowsc. cash budgetd. statement of revenues and expenses
Paying off bonds payable is reported on the statement of cash flows undera. noncash investing and financing activities.b. financing activities.c. operating activities.d. investing activities.
Cash paid to purchase long-term investments would be reported in a. a separate schedule of noncash investing and financing activities b. the investing activities section of the statement of cash flows c. the financing activities section of the statement of cash flows d. the operating activities section of the statement of cash flow