Exam 9: Preparing and Analyzing the Statement of Cash Flows

Team Shirts,Inc.reported $5,000 of depreciation expense for the year.How is this amount reported on the statement of cash flows prepared using the indirect method and the direct method?

(Essay)

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Match each of the following line items with the type of activity found on the statement of cash flows.Each activity can be used more than once.

sale of used equipment

noncash item

purchase of equipment with cash

investing activities

purchase of treasury stock

operating activities

Correct Answer:

Verified

sale of used equipment

purchase of equipment with cash

purchase of treasury stock

purchase of equipment by issuing a note payable

(Matching)

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Question 262

Cash collected from accounts receivables is characterized as an ________ activities.

(Multiple Choice)

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Question 263

During 2011,Cable Direct,Inc.incurred salary expense of $37,500.Salaries payable showed $10,450 at December 31,2010 and $15,200 at December 31,2011. The cash paid to employees is 1.$ and is 2.a(n) activity.

(Short Answer)

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Question 264

Investors should be aware that management may unethically misclassify cash from the sale of land as cash from customers in order to look better.

(True/False)

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Question 265

Team Shirts,Inc.purchased 100 shares of Team Shirts' stock for $17 per share.Cash dividends paid to shareholders were $1,250.How is the accounting information for these transactions reported on the statement of cash flows?

(Essay)

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Question 266

Which of the following events is a cash flow?

(Multiple Choice)

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Question 267

During the year,Team Shirts,Inc.had net cash from operating activities of $50,000; it paid $10,000 in dividends; and it purchased long-term assets for $30,000.Free cash flow for the year was ________.

(Multiple Choice)

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Question 268

If a company were to manipulate the statement of cash flows to please analysts,it would most likely report cash received ________.

(Multiple Choice)

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Question 269

Cash paid for interest is a financing activity.

(True/False)

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Question 270

The cash flows reported in the financing activities section reveal information about how a company is financed.

(True/False)

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Question 271

Team Shirts,Inc.had net cash from operating activities of $50,000.It paid $40,000 to buy a new computer system by signing a $30,000 note and paying the balance.Net cash from (or used for)investing activities for the period was ________.

(Multiple Choice)

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Question 272

Which of the following events is not a source of cash?

(Multiple Choice)

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Question 273

The statement of cash flows helps analysts to evaluate a company's ability to ________.

(Multiple Choice)

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Question 274

The income statement for Sharp,Inc.for the month of May showed insurance expense of $250.The beginning and ending balance sheets for the month showed an increase of $50 in prepaid insurance.There were no payables related to insurance. The cash paid for insurance is 1.$ and is 2.a(n) activity.

(Short Answer)

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Question 275

Use the August transactions and financial statements for Team Shirts in Chapter 8 of your textbook to answer these questions:

(Essay)

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Question 276

What are the four basic financial statements,and what do they report?

(Essay)

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Question 277

Showing 261 - 277 of 277

Team Shirts,Inc.reported $5,000 of depreciation expense for the year.How is this amount reported on the statement of cash flows prepared using the indirect method and the direct method?

Cash collected from accounts receivables is characterized as an ________ activities.

During 2011,Cable Direct,Inc.incurred salary expense of $37,500.Salaries payable showed $10,450 at December 31,2010 and $15,200 at December 31,2011. The cash paid to employees is 1.$ and is 2.a(n) activity.

Investors should be aware that management may unethically misclassify cash from the sale of land as cash from customers in order to look better.

Team Shirts,Inc.purchased 100 shares of Team Shirts' stock for $17 per share.Cash dividends paid to shareholders were $1,250.How is the accounting information for these transactions reported on the statement of cash flows?

Which of the following events is a cash flow?

During the year,Team Shirts,Inc.had net cash from operating activities of $50,000; it paid $10,000 in dividends; and it purchased long-term assets for $30,000.Free cash flow for the year was ________.

If a company were to manipulate the statement of cash flows to please analysts,it would most likely report cash received ________.

Cash paid for interest is a financing activity.

The cash flows reported in the financing activities section reveal information about how a company is financed.

Team Shirts,Inc.had net cash from operating activities of $50,000.It paid $40,000 to buy a new computer system by signing a $30,000 note and paying the balance.Net cash from (or used for)investing activities for the period was ________.

Which of the following events is not a source of cash?

The statement of cash flows helps analysts to evaluate a company's ability to ________.

The income statement for Sharp,Inc.for the month of May showed insurance expense of $250.The beginning and ending balance sheets for the month showed an increase of $50 in prepaid insurance.There were no payables related to insurance. The cash paid for insurance is 1.$ and is 2.a(n) activity.

Use the August transactions and financial statements for Team Shirts in Chapter 8 of your textbook to answer these questions:

What are the four basic financial statements,and what do they report?

Business: Whats It All About

Qualities of Accounting Information

Accruals and Deferrals: Timing Is Everything in Accounting

Payment for Goods and Services: Cash and Accounts Receivable

The Purchase and Sale of Inventory

Acquisition and Use of Long-Term Assets

Accounting for Liabilities

Accounting for Shareholders Equity

Using Financial Statement Analysis to Evaluate Firm Performance

Quality of Earnings, corporate Governance, and Ifrs

Filters

Exam 9: Preparing and Analyzing the Statement of Cash Flows

Team Shirts,Inc.reported $5,000 of depreciation expense for the year.How is this amount reported on the statement of cash flows prepared using the indirect method and the direct method?

Cash collected from accounts receivables is characterized as an ________ activities.

During 2011,Cable Direct,Inc.incurred salary expense of $37,500.Salaries payable showed $10,450 at December 31,2010 and $15,200 at December 31,2011. The cash paid to employees is 1.$________ and is 2.a(n)________ activity.

Investors should be aware that management may unethically misclassify cash from the sale of land as cash from customers in order to look better.

Team Shirts,Inc.purchased 100 shares of Team Shirts' stock for $17 per share.Cash dividends paid to shareholders were $1,250.How is the accounting information for these transactions reported on the statement of cash flows?

Which of the following events is a cash flow?

During the year,Team Shirts,Inc.had net cash from operating activities of $50,000; it paid $10,000 in dividends; and it purchased long-term assets for $30,000.Free cash flow for the year was ________.

If a company were to manipulate the statement of cash flows to please analysts,it would most likely report cash received ________.

Cash paid for interest is a financing activity.

The cash flows reported in the financing activities section reveal information about how a company is financed.

Team Shirts,Inc.had net cash from operating activities of $50,000.It paid $40,000 to buy a new computer system by signing a $30,000 note and paying the balance.Net cash from (or used for)investing activities for the period was ________.

Which of the following events is not a source of cash?

The statement of cash flows helps analysts to evaluate a company's ability to ________.

Use the August transactions and financial statements for Team Shirts in Chapter 8 of your textbook to answer these questions:

What are the four basic financial statements,and what do they report?

Business: Whats It All About

Qualities of Accounting Information

Accruals and Deferrals: Timing Is Everything in Accounting

Payment for Goods and Services: Cash and Accounts Receivable

The Purchase and Sale of Inventory

Acquisition and Use of Long-Term Assets

Accounting for Liabilities

Accounting for Shareholders Equity

Using Financial Statement Analysis to Evaluate Firm Performance

Quality of Earnings, corporate Governance, and Ifrs

Filters

During 2011,Cable Direct,Inc.incurred salary expense of $37,500.Salaries payable showed $10,450 at December 31,2010 and $15,200 at December 31,2011. The cash paid to employees is 1.$ and is 2.a(n) activity.