ACC 102 Lecture Notes - Lecture 13: United States Treasury Security, Cash Flow, Financial Statement

98 views3 pages

blackbuffalo990

26 May 2018

School

Department

Course

Professor

For unlimited access to Class Notes, a Class+ subscription is required.

Bob Ryan DePaul University 2015/2016

Accounting 102

Financial & Managerial Accounting

Chapter 13 – Class Questions

1. Non cash investing and financing transactions:

a. Appear as a separate schedule on the statement of cash flows

b. Appear in either the investing or financing activities section, but not both

c. Are excluded from the statement of cash flows

d. Appear in both the investing and financing activities section

2. Cash equivalents do not include:

a. U.S. Treasury bills

b. Money market accounts

c. Marketable securities

d. Commercial paper

3. Investors and creditors would find the statement of cash flows least useful in

assessing:

a. Financial position at a point in time

b. Need for additional financing

c. Ability to pay dividends and liabilities

d. Ability to generate positive future cash flows

4. Collected accounts receivables:

a. Does not represent a cash flow

b. Operating activities section

c. Financing activities section

d. Investing activities section

5. Retired long term debt with cash:

a. Operating activities section

b. Does not represent a cash flow

c. Investing activities section

d. Financing activities section

6. If net cash flows from operating activities were $187,000, net income were

$50,000, and net sales were $600,000, the cash flow yield would equal (Round

to on decimal place)

a. $137,000

b. $237,000

c. 3.7 times

d. $413,000

find more resources at oneclass.com

Unlock document

This preview shows page 1 of the document.
Unlock all 3 pages and 3 million more documents.

Already have an account? Log in

Related Questions

Non-cash investing and financing activities may be disclosed in:

a. A note in the financial statements or a schedule attached to the statement of cash flows.

b. The operating activities section of the statement of cash flows.

c. The investing activities section of the statement of cash flows.

d. The financing activities section of the statement of cash flows.

e. The reconciliation of cash balance section.

turquoiseyellowjacket901

The Blackbeard Company Ltd provided the following information in regard to its operations for the year ended 30 June 2014:

Cash Book Summary
Opening balance	$20,000	Accounts Payable	$40,000
Accounts receivable	100,000	Bills Payable (suppliers)	20,000
Bills Receivable (suppliers)	20,000	Interest paid	60,000
Debenture Issue	400,000	Operating expenses	180,000
Dividends received	20,000	Salaries & wages	200,000
Interest received	40,000	Current tax payable	80,000
Motor vehicles	60,000	Plant & machinery	100,000
Share capital	200,000	Dividend paid	120,000
		Balance c/d	60,000
	860,000		860,000
Balance b/d	60,000

Required:

(a) Net cash used in operating activities; (b) Net cash used in investing activities; (c) Net cash from financing activities;

(d) Net increase/(decrease) in cash and cash equivalents.

Please use the following format

*Statement of Cash Flows for Blackbeard Company*
*For the Financial Year Ended 30 June 2014*
( i ) Cash flows from Operating Activities	Inflows/	Inflows/
	(Outflows)	(Outflows)










Net cash used in operating activities

( ii ) Cash flows from Investing Activities


Net cash used in Investing Activities

( iii ) Cash flows from Financing Activities

violetcoyote644

Choose the correction answer

15. The statement of cash flowsprovides information to help investors and creditors assess thecash and noncash investing and financing transactions during theperiod.

T F

16. The net increase(decrease) in cash reported on the statement of cash flows shouldreconcile the beginning and ending cash balances reported in thecomparative balance sheets.

T F

17. Anobjective of the statement of cash flows is to

a. disclose changes during the period in all assetand all equity accounts.

b. disclose the change in working capital during theperiod.

c. provide information about the operating,investing, and financing activities of an entity during aperiod.

d. None of these answers are correct.

18. Theprimary purpose of the statement of cash flows is to provideinformation

a. about the operating, investing, and financingactivities of an entity during a period.

b. that is useful in assessing future cash flowprospects.

c. about the cash receipts and cash payments of anentity during a period.

d. about the entity's ability to meet itsobligations and to pay dividends.

19. Cash equivalents are

a. treasury bills, commercial paper, and moneymarket funds purchased with excess cash.

b. investments with original maturities of threemonths or less.

c. readily convertible into known amounts ofcash.

d. All of these answers are correct.

20. Xanthe Corporation had the following transactions occur in thecurrent year:

1. Cash sale of merchandise inventory.

2. Sale of delivery truck at book value.

3. Sale of Xanthe common stock for cash.

4. Issuance of a note payable to a bank forcash.

5. Sale of a security held as anavailable-for-sale investment.

6. Collection of loan receivable.

How many of the above items willappear as a cash inflow from investing activities on a statement ofcash flows for the current year?

a. Five items

b. Four items

c. Three items

d. Two items

erinchimpanzee626

ACC 102 Lecture Notes - Lecture 13: United States Treasury Security, Cash Flow, Financial Statement

Get access

Related Documents

ACC 102 Lecture Notes - Lecture 12: Dividend Yield, Treasury Stock, Retained Earnings

ACC 102 Lecture Notes - Lecture 11: Interest Expense, Net Income, Effective Interest Rate

Accounting ACCT 2610 Lecture Notes - Lecture 25: Current Liability, Cash Flow Statement, Cash Flow

Related Questions