Quick Check (Answers are given here ) The statement of cash flows is designed for all of the following purposes except a. to list all revenues and expenses. b. to determine a company’s ability to pay dividends and interest. c. to predict future cash flows. d. to provide information about cash receipts and cash payments during a period.

Question

Want to see more full solutions like this?

Answer 1

Textbook Question

Chapter 11, Problem 1QC

Quick Check

(Answers are given here)

The statement of cash flows is designed for all of the following purposes except

a. to list all revenues and expenses.
b. to determine a company’s ability to pay dividends and interest.
c. to predict future cash flows.
d. to provide information about cash receipts and cash payments during a period.

Expert Solution & Answer

To determine

To identify: The purpose for which the statement of cash flows is not designed.

Answer to Problem 1QC

a. To list all revenues and expenses.

Explanation of Solution

Statement of cash flows:

This statement reports all the cash transactions which are responsible for inflow and outflow of cash, and result of these transactions is reported as ending balance of cash at the end of reported period. Statement of cash flows includes the changes in cash balance due to operating, investing, and financing activities. The statement of cash flow also determines the company’s ability to pay dividends and interest.

Thus option b, c, and d, are not correct answer as per the above explanation, only option a is correct answer as per above explanation.

Conclusion

Hence, the correct answer is option a.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Students have asked these similar questions

Solve this question financial accounting

The following financial statement information is from five separate companies. Beginning of year Assets Liabilities Compan Compan Compan Compan Compan УА y B ус y D y E $ 55,000 $34,000 $24,000 $60,000 $1,19,00 24,500 21,500 9,000 40,000 ? End of year Assets Liabilities Changes during 58,000 40,000 ? 85,000 1,13,000 ? 26,500 29,000 24,000 70,000 the year Owner 6,000 1,400 9,750 ? 6,500 investments Net income (loss) 8,500 ? 8,000 14,000 20,000 Owner 3,500 2,000 5,875 0 11,000 withdrawals Compute the amount of liabilities for Company E at the beginning of the year. End of the year Assets = Liabilities + Equity $ 1,13,000 = $ 70,000 + $ 43,000 Statement of Owner's equity Equity, beginning of year $ 43,000 Add: Investment by owner 6,500 Add: Net Income 20,000 69,500 Less: Withdrawal by owner 11,000 Equity, end of year ?

Hii expert please given correct answer general Accounting

Answer 2

Textbook Question

Chapter 11, Problem 1QC

Quick Check

(Answers are given here)

The statement of cash flows is designed for all of the following purposes except

a. to list all revenues and expenses.
b. to determine a company’s ability to pay dividends and interest.
c. to predict future cash flows.
d. to provide information about cash receipts and cash payments during a period.

Expert Solution & Answer

To determine

To identify: The purpose for which the statement of cash flows is not designed.

Answer to Problem 1QC

a. To list all revenues and expenses.

Explanation of Solution

Statement of cash flows:

This statement reports all the cash transactions which are responsible for inflow and outflow of cash, and result of these transactions is reported as ending balance of cash at the end of reported period. Statement of cash flows includes the changes in cash balance due to operating, investing, and financing activities. The statement of cash flow also determines the company’s ability to pay dividends and interest.

Thus option b, c, and d, are not correct answer as per the above explanation, only option a is correct answer as per above explanation.

Conclusion

Hence, the correct answer is option a.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 3

Textbook Question

Chapter 11, Problem 1QC

Quick Check

(Answers are given here)

The statement of cash flows is designed for all of the following purposes except

a. to list all revenues and expenses.
b. to determine a company’s ability to pay dividends and interest.
c. to predict future cash flows.
d. to provide information about cash receipts and cash payments during a period.

Expert Solution & Answer

To determine

To identify: The purpose for which the statement of cash flows is not designed.

Answer to Problem 1QC

a. To list all revenues and expenses.

Explanation of Solution

Statement of cash flows:

This statement reports all the cash transactions which are responsible for inflow and outflow of cash, and result of these transactions is reported as ending balance of cash at the end of reported period. Statement of cash flows includes the changes in cash balance due to operating, investing, and financing activities. The statement of cash flow also determines the company’s ability to pay dividends and interest.

Thus option b, c, and d, are not correct answer as per the above explanation, only option a is correct answer as per above explanation.

Conclusion

Hence, the correct answer is option a.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 4

Textbook Question

Chapter 11, Problem 1QC

Quick Check

(Answers are given here)

The statement of cash flows is designed for all of the following purposes except

a. to list all revenues and expenses.
b. to determine a company’s ability to pay dividends and interest.
c. to predict future cash flows.
d. to provide information about cash receipts and cash payments during a period.

Expert Solution & Answer

To determine

To identify: The purpose for which the statement of cash flows is not designed.

Answer to Problem 1QC

a. To list all revenues and expenses.

Explanation of Solution

Statement of cash flows:

This statement reports all the cash transactions which are responsible for inflow and outflow of cash, and result of these transactions is reported as ending balance of cash at the end of reported period. Statement of cash flows includes the changes in cash balance due to operating, investing, and financing activities. The statement of cash flow also determines the company’s ability to pay dividends and interest.

Thus option b, c, and d, are not correct answer as per the above explanation, only option a is correct answer as per above explanation.

Conclusion

Hence, the correct answer is option a.

Want to see more full solutions like this?

Subscribe now to access step-by-step solutions to millions of textbook problems written by subject matter experts!

Answer 5

Textbook Question

Answer 6

Textbook Question

Answer 7

Expert Solution & Answer

To determine

To identify: The purpose for which the statement of cash flows is not designed.

Answer to Problem 1QC

a. To list all revenues and expenses.

Explanation of Solution

Statement of cash flows:

This statement reports all the cash transactions which are responsible for inflow and outflow of cash, and result of these transactions is reported as ending balance of cash at the end of reported period. Statement of cash flows includes the changes in cash balance due to operating, investing, and financing activities. The statement of cash flow also determines the company’s ability to pay dividends and interest.

Thus option b, c, and d, are not correct answer as per the above explanation, only option a is correct answer as per above explanation.

Conclusion

Hence, the correct answer is option a.

Answer 8

Expert Solution & Answer

To determine

To identify: The purpose for which the statement of cash flows is not designed.

Answer to Problem 1QC

a. To list all revenues and expenses.

Explanation of Solution

Statement of cash flows:

This statement reports all the cash transactions which are responsible for inflow and outflow of cash, and result of these transactions is reported as ending balance of cash at the end of reported period. Statement of cash flows includes the changes in cash balance due to operating, investing, and financing activities. The statement of cash flow also determines the company’s ability to pay dividends and interest.

Thus option b, c, and d, are not correct answer as per the above explanation, only option a is correct answer as per above explanation.

Conclusion

Hence, the correct answer is option a.

Answer 9

Expert Solution & Answer

Answer 10

Expert Solution & Answer

Answer 11

To determine

To identify: The purpose for which the statement of cash flows is not designed.

Answer 12

Answer to Problem 1QC

a. To list all revenues and expenses.

Answer 13

Explanation of Solution

Statement of cash flows:

This statement reports all the cash transactions which are responsible for inflow and outflow of cash, and result of these transactions is reported as ending balance of cash at the end of reported period. Statement of cash flows includes the changes in cash balance due to operating, investing, and financing activities. The statement of cash flow also determines the company’s ability to pay dividends and interest.

Thus option b, c, and d, are not correct answer as per the above explanation, only option a is correct answer as per above explanation.

Answer 14

Conclusion

Hence, the correct answer is option a.

Answer 15

Ch. 11 - Quick Check (Answers are given here) The statement...Ch. 11 - Prob. 2QC Ch. 11 - Prob. 3QC Ch. 11 - Which of the three types of activities reported on...Ch. 11 - Prob. 5QC Ch. 11 - On the statement of cash flows, which of the...Ch. 11 - On the statement of cash flows, which of the...Ch. 11 - Prob. 8QC Ch. 11 - Prob. 9QC Ch. 11 - Which of the following transactions does not...

Concept explainers

Videos

Answer to Problem 1QC

Explanation of Solution

Want to see more full solutions like this?

Chapter 11 Solutions