Question 1 Cash flows from financing activities, as part of the statement of cash flows, would include any payments for dividends. True False Question 2 Cash flows from investing activities, as part...

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Principles of Accounting II- Please answer these questions and explain how to answer them so that way I can understand and reread the chapter again and compare them to my answers if I answer them right or not.


Question 1    Cash flows from financing activities, as part of the statement of cash flows, would include any payments for dividends. True False Question 2    Cash flows from investing activities, as part of the statement of cash flows, include payments for the acquisition of fixed assets. True False Question 3    Cash paid to purchase long-term investments would be reported in the statement of cash flows in the cash flows from operating activities section the cash flows from financing activities section the cash flows from investing activities section a separate schedule Question 4    A ten-year bond was issued at par for $250,000 cash.  This transaction should be shown on a statement of cash flows under investing activities financing activities noncash investing and financing activities operating activities Question 5    A company purchases equipment for $32,000 cash.  This transaction should be shown on the statement of cash flows under investing activities financing activities noncash investing and financing activities operating activities Question 6    For each of the following activities that may take place during the accounting period, indicate the effect (a-g) on the statement of cash flows prepared using the indirect method.  Choices may be selected as the answer for more than one question. Amortization of intangible assets Exchange of land for common stock Sale of land Decrease in accounts payable balance Purchase of equipment Acquisition of treasury stock Payment of dividends Gain on sale of investments Increase in accounts receivable balance Repayment of long-term note payable 1. Increase cash from operating activities 2. Decrease cash from operating activities 3. Increase cash from investing activities 4. Decrease cash from investing activities 5. Increase cash from financing activities 6. Decrease cash from financing activities 7. Noncash investing and financing supplement Question 7    A 15% change in sales will result in a 15% change in net income. True False Question 8    One reason that a common-sized statement is a useful tool in financial analysis is that it enables the user to judge the relative potential of two companies of similar size in different industries determine which companies in a single industry are of the same value determine which companies in a single industry are of the same size make a better comparison of two companies of different sizes in the same industry Question 9    Match each definition that follows with the term (a–h) it defines. focuses on a company’s ability to generate net income an analysis of a company’s ability to pay its current liabilities the percentage analysis of the relationship of each component in a financial statement to a total within the statement an event or transaction that is both unusual and infrequent occurs when a company abandons a segment requires a restatement of prior-period financial statements useful for comparing one company to another or a company with industry averages a percentage analysis of increases and decreases in related items on comparative financial statements 1. discontinued operations 2. extraordinary items 3. change from one generally accepted accounting principle to another 4. horizontal analysis 5. vertical analysis 6. common-sized financial statements 7. current position analysis 8. profitability analysis Question 10    The number of days' sales in inventory is one means of expressing the relationship between the cost of goods sold and inventory. True False
Answered 3 days AfterJan 21, 2021

Answer To: Question 1 Cash flows from financing activities, as part of the statement of cash flows, would...

Moumita answered on Jan 24 2021
145 Votes
Question 1 
 
Cash flows from financing activities, as part of the statement of cash flows, would include any payments for dividends.
    
    True
    
    The financial activity in the cash flow is a statement which is related to the ways in whic
h the firm raises the capital required for the investors in the capital markets. This includes the cash which is received from stocks. Cash from debt issues and repurchase shares, receiving cash from the debt or paying down debt and also paying divides to the shareholders. The activities include paying cash through the capital market. thse catiavies add or change loan issuing and selling of more stock. The cash flow form the owner and creditors are measured in these activities.
Question 2 
 
Cash flows from investing activities, as part of the statement of cash flows, include payments for the acquisition of fixed assets.
    
    
    
    False
The cash flow from investing activities are the section in which the cash flow from various investment activities are recorded. The system of the accounting records how much cash has been generated or spent from investment related activities. A negative cash flow is a translation for the company’s poor performance. A negative cash flow can form various long term investments of the company in various assets and amounts being invested. This can include cash investment in the process of research and investment
Question 3 
 
Cash paid to purchase long-term investments would be reported in the statement of cash flows in
    
    Incomes from investment activities speak to inflows and surges that happened inside a bookkeeping period and concern all the ventures that the organization has made. Basically, these incomes allude to money got or paid for the procurement or removal of long haul (fixed resources)
    
    
    
    the cash flows from investing activities section
    
    
Question 4 
 
A ten-year bond was issued at par for $250,000 cash.  This transaction should be shown on a statement of cash flows under
    
    Incomes from financing activities incorporate the surviving from the exercises that are grouped either as working or contributing. It ordinarily incorporates the receipts from giving new offers, the installments to resign value capital, the installments of profits to the investors, the receipts from giving new obligation capital, for example, bonds, notes, and contracts, and the installments made to...
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