1) Which of the following activities would not be classified under the investing activities section on the statement of cash flows?
A) Cash paid for the stock of another company
B) The purchase of new equipment
C) Cash paid to purchase treasury stock
2) Under the indirect method of calculating operating cash flows, which of the following would be added to net income?
A)Non-cash expenses
B) Gain on sale of equipment
C) Decrease in current liabilities
3) A company shows sales of $100,000 during the year. The company's balance in accounts receivable decreased $6,000 during the year. How much cash was received from customers during the year?
A) $98,000
B)$100,000
C) $106,000
4) Which of the following activities would not be classified under the financing activities section of the statement of cash flows?
A) Issuance of common stock for cash
B) Payment of principal on bonds
C) Dividends declared but not yet paid