Question

6.   Which of the following is the proper sequencing of activities on the statement of cash...

6.   Which of the following is the proper sequencing of activities on the statement of cash flows?

a.

Operating, investing, and financing

b.

Operating, financing, and investing

c.

Investing, operating, and financing

d.

Investing, financing, and operating

Homework Answers

Answer #1

The correct option is A.

Operating section reports day to day cash flows where net income is adjusted to non cash revenues and expenses and also to changes in working capital(current assets and current liabilities).

Investing section reports cash inflows from sale of fixed assets,equipment and cash outflows from purchase of assets for the period etc.

Financing section reports cash flows from issuance of common stock;or cash outflows from purchase of treasury stock etc.

Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
2.   Which of the following is the typical sequencing of activities on the statement of cash...
2.   Which of the following is the typical sequencing of activities on the statement of cash flows? a. Operating, investing, and financing b. Operating, financing, and investing c. Investing, operating, and financing d. Investing, financing, and operating
A statement of Cash Flows contains the following sections: Cash Flows from Operating Activities Cash Flows...
A statement of Cash Flows contains the following sections: Cash Flows from Operating Activities Cash Flows from Investing Activities Cash Flows from Financing Activities Investing and Financing Activities NOT affecting cash A list of items that appear on the Cash Flows Statement appear below: Using the letters (A-D), indicate in which section(s) of the statement of cash flows (or accompanying schedule) the preceding items would most likely be classified       -       A.       B.      ...
Which of the following activities is computed differently using the two methods of formatting a Statement...
Which of the following activities is computed differently using the two methods of formatting a Statement of Cash Flows? A. Financing activities B. Investing activities C. Operating activities D. Both operating activities and investing activities 2. One disadvantage to the corporate form of organization is: A. limited liability. B. transfer of ownership policies. C. ability to raise capital. D. government regulations.
1)In the statement of cash flows, in which section is the cash payment of salaries reported?...
1)In the statement of cash flows, in which section is the cash payment of salaries reported? A. Operating Activities B. Investing Activities C. Financing Activities D. Schedule of Noncash Transactions E. None of the above 2)In the statement of cash flows, in which section is the cash payment of dividends reported? A. Operating Activities B. Investing Activities C. Financing Activities 3)In the statement of cash flows, in which section is the cash receipt from the issuance of common stock reported?...
The statement of cash flows reports all but which of the following: Multiple Choice Cash flows...
The statement of cash flows reports all but which of the following: Multiple Choice Cash flows from operating activities. Cash flows from financing activities. Cash flows from investing activities. Significant noncash financing and investing activities. The financial position of the company at the end of the accounting period.
Question 19 The statement of cash flows does not include a. Cash flows from financing activities...
Question 19 The statement of cash flows does not include a. Cash flows from financing activities b. Changes in Net Assets c. Cash flows from investing activities d. Cash flows from operating activities
Which of the following methods of reporting cash flows provided by operating activities does the Financial...
Which of the following methods of reporting cash flows provided by operating activities does the Financial Accounting Standards Board recommend? A. The indirect method B. The direct method C. Either the indirect method or the direct method D. Neither the indirect method not the direct method In preparing cash flows provided by operating activities using the indirect method, which of the following is not deducted from net income? A. Decreases in current liability balances B. Increases in current asset balances...
1) Which of the following is a method for reporting cash flows from operating activities that...
1) Which of the following is a method for reporting cash flows from operating activities that begins with net income and reconciles to cash flows from operating​ activities? A.accrual method B.direct method C.indirect method D.cashminus−basis method 2) Under the indirect method of preparing a statement of cash​ flows, cash disbursed for the acquisition of a capital asset​ is: A.added in the financing activities section B.added in the investing activities section C.subtracted in the operating activities section D.subtracted in the investing...
1. The purchase of treasury stock will have what impact on the statement of cash flows?...
1. The purchase of treasury stock will have what impact on the statement of cash flows? A. Cash inflow from financing activities B. Cash outflow from financing activities C. Cash inflow from investing activities D. Cash outflow from investing activities 2. Cash inflows or outflows from investing activities would involve all of the following except: A. The proceeds from the sale of equipment B. The purchase of buildings C. The receipt of interest income on short-term investments D. The purchase...
In preparing the statement of cash flows, the correct order of reporting cash activities is financing,...
In preparing the statement of cash flows, the correct order of reporting cash activities is financing, operating, and investing. True
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT