ACC 557 Week 10 Chapter 13 Quiz

ACC 557 Week 10 Chapter 13 Quiz

Which of the following would be added to net income using the indirect method?

Indicate where the event common stock issued for cash would appear, if at all, on the indirect statement of cash flows.

Which of the following transactions would not be classified as a financing activity?

Answer: Purchase of long term-investment in bonds

Using the indirect method, patent amortization expense for the period

Winston Company reported net income of $50,000 for the year. During the year, accounts receivable decreased by $7,000, accounts payable increased by $3,000 and depreciation expense of $5,000 was recorded. Net cash provided by operating activities for the year is

A measure that describes the cash remaining from operations after adjustment for capital expenditures and dividends is

In addition to the three basic financial statements, which of the following is also a required financial statement?

In Stretch Company, there was an increase in the land account during the year of $48,000. Analysis reveals that the change resulted from a cash sale of land at cost $110,000, and a cash purchase of land for $158,000. In the statement of cash flows, the change in the land account should be reported in the investment section:

Starting with net income and adjusting it for items that affected reported net income but which did not affect cash is called the

Which of the following steps is not required in preparing the statement of cash flows?

Carrot Company issued common stock for proceeds of $381,000 during 2013. The company paid dividends of $90,000 and issued a long-term note payable for $95,000 in exchange for equipment during the year. The company also purchased treasury stock that had a cost of $18,000. The financing section of the statement of cash flows will report net cash inflows of

Accounts receivable arising from sales to customers amounted to $45,000 and $50,000 at the beginning and end of the year, respectively. Income reported on the income statement for the year was $160,000. Exclusive of the effect of other adjustments, the cash flows from operating activities to be reported on the statement of cash flows is

Under IFRS, the cash flow statement can be prepared using

During 2013, Forman Industries reported cash provided by operations of $690,000, cash used in investing of $1,029,000, and cash used in financing of $135,000. In addition, cash spent for fixed assets during the period was $414,000. No dividends were paid. Based on this information, what was Forman's free cash flow?

Accounts receivable arising from sales to customers amounted to $85,000 and $75,000 at the beginning and end of the year, respectively. Income reported on the income statement for the year was $285,000. Exclusive of the effect of other adjustments, the cash flows from operating activities to be reported on the statement of cash flows is