Question 1: The net income reported on the income statement for the current year is $50000. Depreciation recorded on fixed assets and amortization of bond discount for the year were $30000 and $1000 respectively. What is the amt of cash flows from operating activities that would appear on the statement of cash flows using the indirect method?
a 81000
b 19000
c 49000
d 80000
Question 2: Cash flow per share is
a not required to be reported on any statement
b required to be reported on the statement of cash flows
c required to be reported on the income statement
d required to be reported on the balance sheet
Question 3: Cash paid to purchase long-term investments would be reported on the statement of cash flows in
a operating activies
b financing activiees
c investing activies
d a seperate schedule
Question 4: On the statement of cash flows, the cash flows from financing activities section would include
a receipts from the sale of investments
b receipts from the issuance of capital stock
c payments for the acquitions of investments
d receipts from gain on sale of investments
Question 5: Depreciation on factory equipment would be reported in the statement of cash flows prepared by the indirect method in
a financing activities
b investing activities
c a seperate schedule
d operating activities
Question 6: Which of the following does not represent an outflow of cash and therefore would not be reported on the statement of cash flows as a use of cash?
a purchase of treasure stock
b purchase of noncurrent assets
c discarding an asset that had been fully depreciated
d payments of cash dividends
Question 7: Cash flows from investing activities as part of the statment of cash flows includes cash transactions that enter into the determination of net income
True or False
Question 8: The net income reported on the income statement for the current year is $90000. Depreciation recorded on fixed assets and amortization of bond discount for the year were $12000 and $3000 respectively. What is the amt of cash flows from operating activities that would appear on the statement of cash flows using the indirect method?
a 90000
b 93000
c 75000
d 105000
Question 9: Which of the following represents an inflow of cash and would be reported on the statement of cash flows?
a issuance of long term dept
b acquistion of treasury stock
c declaration of stock dividends
d appropriation of retained earnings
Question 10: AR from trade transactions amounted to $35000 and $40000 at the begining and end of the year. Income reported on the income statement for the year was $120000. Exclusive of the effect of other adjustments, the cash flows from operating activities using the indirect method is
a 120000
b 125000
c 115000
d 155000
Question 11: On the statement of cash flows, the cash flows from financing activities section would include
a receipts from the sale of investments
b payments for the acquisition of investments
c payments for the acquistions of fixed assets
d receipts from the issuance of bond payable
Question 12: Cash flows from operating activities as reported on the statment of cash flows using the indirect method would include
a net income
b payments for dividends
c receipts from sale of investments
d receipts from the issuance of capital stock
Question 13: The last item on the statement of cash flows prior to the schedule of noncash investing & financing activities reports
a increase or decrease in cash
b cash at the end of the year
c net cash flow from investing
d net cash from financing
Question 14: Which of the following types of transactions would be reported as a cash flow from investing activity on the statment
a issuance of bonds payable
b issuance of capital stock
c purchase of treasury stock
d purchase of noncurrent assets
Question 15: On the statement of cash flows prepared by the indirect method, the cash flows from operating activities would include
a receipts from the sale of invesments
b amoritzation of the intangile assents
c payments for cash dividends
d receipts from the issuance of capital stock
Question 16: On the statement of cash flows, a $20000 gain on the sale of fixed assets would be
a added to net income in converting net income reported on the income statement to cash flows from operating activities
b deducted from net income in converting the net income reportted on the income statement to cash flows from operating activities
c added to dividends declared in converting the dividends to the cash flows from financing activities related to dividends
d deducted from dividends declared in converting the dividends to the cash flows from financing activities related to dividends
Question 17: On the statement of cash flows, the cash flows from investing activities would include
a receipts from the issuance of capital stock
b payment for dividends
c payments for retirement of bonds payable
d receipts from the sale of investments
Question 18: If a loss of $12500 is incurred in selling for cash office equipment having a book value of $50000, the total amt reported in the cash flow from investing activities would be
a 50000
b 37500
c 62500
d 12500