Question : 81. On the statement of cash flows prepared by the indirect : 1246644

 

81. On the statement of cash flows prepared by the indirect method, a $50,000 gain on the sale of investments would be  A. deducted from net income in converting the net income reported on the income statement to cash flows from operating activitiesB. added to net income in converting the net income reported on the income statement to cash flows from operating activitiesC. added to dividends declared in converting the dividends declared to the cash flows from financing activities related to dividendsD. deducted from dividends declared in converting the dividends declared to the cash flows from financing activities related to dividends

82. Accounts receivable arising from trade transactions amounted to $44,000 and $53,000 at the beginning and end of the year, respectively.  Net income reported on the income statement for the year was $105,000.  Exclusive of the effect of other adjustments, the cash flows from operating activities to be reported on the statement of cash flows prepared by the indirect method is  A. $105,000B. $114,000C. $96,000D. $158,000

83. The net income reported on the income statement for the current year was $275,000.  Depreciation recorded on fixed assets and amortization of patents for the year were $40,000 and $9,000, respectively.  Balances of current asset and current liability accounts at the end and at the beginning of the year are as follows: 

 

End

Beginning

Cash

$  50,000

$  60,000

Accounts receivable

112,000

108,000

Inventories

105,000

93,000

Prepaid expenses

4,500

6,500

Accounts payable (merchandise creditors)

75,000

89,000

 

 

 

What is the amount of cash flows from operating activities reported on the statement of cash flows prepared by the indirect method? A. $198,000B. $324,000C. $352,000D. $296,000

 

84. The following information is available from the current period financial statements: 

Net income

$150,000

Depreciation expense

28,000

Increase in accounts receivable

16,000

Decrease in accounts payable

21,000

 

 

The net cash flow from operating activities using the indirect method is  A. $141,000B. $173,000C. $117,000D. $215,000

 

85. On the statement of cash flows, the cash flows from investing activities section would include  A. receipts from the issuance of capital stockB. payments for dividendsC. payments for retirement of bonds payableD. receipts from the sale of investments

 

86. A building with a book value of $ 46,000 is sold for $51,000 cash  Using the indirect method, this transaction should be shown on the statement of cash flows as follows: A. an increase of $46,000 from investing activitiesB. an increase of $51,000 from investing activities and a deduction from net income of $5,000 C. an increase of $51,000 from investing activitiesD. an increase of $46,000 from investing activities and an addition to net income of $5,000

 

87. Cash paid for equipment would be reported in the statement of cash flows in  A. the cash flows from operating activities sectionB. the cash flows from financing activities sectionC. the cash flows from investing activities sectionD. a separate schedule

 

88. If a gain of $9,000 is incurred in selling (for cash) office equipment having a book value of $55,000, the total amount reported in the cash flows from investing activities section of the statement of cash flows is  A. $46,000B. $9,000C. $55,000D. $64,000

 

89. Which of the following types of transactions would be reported as a cash flow from investing activity on the statement of cash flows? A. issuance of bonds payableB. issuance of capital stockC. purchase of treasury stockD. purchase of noncurrent assets

 

90. Land costing $46,000 was sold for $79,000 cash.  The gain on the sale was reported on the income statement as other income.  On the statement of cash flows, what amount should be reported as an investing activity from the sale of land? A. $79,000B. $46,000C. $125,000D. $33,000

 

 

Place your order
(550 words)

Approximate price: $22

Calculate the price of your order

550 words
We'll send you the first draft for approval by September 11, 2018 at 10:52 AM
Total price:
$26
The price is based on these factors:
Academic level
Number of pages
Urgency
Basic features
  • Free title page and bibliography
  • Unlimited revisions
  • Plagiarism-free guarantee
  • Money-back guarantee
  • 24/7 support
On-demand options
  • Writer’s samples
  • Part-by-part delivery
  • Overnight delivery
  • Copies of used sources
  • Expert Proofreading
Paper format
  • 275 words per page
  • 12 pt Arial/Times New Roman
  • Double line spacing
  • Any citation style (APA, MLA, Chicago/Turabian, Harvard)

Our guarantees

Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.

Money-back guarantee

You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.

Read more

Zero-plagiarism guarantee

Each paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.

Read more

Free-revision policy

Thanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.

Read more

Privacy policy

Your email is safe, as we store it according to international data protection rules. Your bank details are secure, as we use only reliable payment systems.

Read more

Fair-cooperation guarantee

By sending us your money, you buy the service we provide. Check out our terms and conditions if you prefer business talks to be laid out in official language.

Read more