Which of the following describes the statement of cash flows?a) It shows a company's financial position.b) It reports cash inflows and outflows for operating, investing, and financingactivities.c) It lists all company assets and liabilities.d) It lists all sources of company revenue.

Explanation of Statement of Cash Flows:The Statement of Cash Flows is a financial report that…

Answered: Which of the following describes the…

Principles of Accounting Volume 1

19th Edition

ISBN:9781947172685

Author:OpenStax

Publisher:OpenStax

Chapter16: Statement Of Cash Flows

Section: Chapter Questions

Problem 3MC: Which is the proper order of the sections of the statement of cash flows? A. financing, investing,...

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Use the following excerpts from Kirsten Companys Statement of Cash Flows and other financial records to determine the companys free cash flow.
Classification of Cash Flows A company's statement of cash flows and the accompanying schedule of investing and financing activities not affecting cash may contain the following major sections: a. Operating Activities b. Investing Activities c. Financing Activities d. Investing and Financing Activities not Affecting Cash The following is a list of items that might appear on a company's statement of cash flows or in the accompanying schedule. Required: Using the letters A through D, indicate in which section of the statement of cash flows (or the accompanying schedule) the preceding item would most likely be classified. After each letter, indicate with a plus (+) or a minus () whether the item would be reported on the statement (or the accompanying schedule).
Given the following information, convert Robin Companys salaries expense from its income statement into payments to employees for its statement of cash flows.
What categories of activities are reported on the statement of cash flows? Does it matter in what order these sections are presented?
List the three operating cash inflows that a company reports under the direct method.
Use the following excerpts from Nutmeg Companys financial records to determine net cash flows from operating activities and net cash flows from investing activities.
Use the following excerpts from Grenada Companys financial records to determine net cash flows from operating activities and net cash flows from investing activities.
Which is the proper order of the sections of the statement of cash flows? A. financing, investing, operating B. operating, investing, financing C. investing, operating, financing D. operating, financing, investing
Use the following information from Jumper Companys financial statements to determine operating net cash flows (indirect method).
Would there ever be activities that relate to operating, investing, or financing activities that would not be reported in their respective sections of the statement of cash flows? Explain. If a company had any such activities, how would they be reported in the financial statements, if at all?
Investing activities are those transactions dealing with the exchange of cash between the company and its stockholders and creditors.

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Which of the following describes the statement of cash flows? a) It shows a company's financial position. b) It reports cash inflows and outflows for operating, investing, and financing activities. c) It lists all company assets and liabilities. d) It lists all sources of company revenue.