Question

sr Question 1.29 Which of the tolBowing should be added to not income in calculating net cash Tow from operating actvibes using the Iindirect method? a decrosse in accounts payable 0 a decrease in ccounts receivable o prelented dividends dedared and paid Question 1.30 On the statement of cash fhowe, the Cash flows trom Inveeting activites section would include: O reoepts from the sale of investments O pamerts or retirement of bonds peyable s Question 1.31 Which of the tollowing should be asoucted trom net income in calculating net cash now trom operating actvibee using the Indirect method? 2 pore O dividends declared and pad O a loes an the sile of equipment O sain on sale of land k Question 1.32 Accounts reolvable from salee transactions were $51,000 at the beginning of the year and $04,000 at the and of the yoar Not Inoome reported on the Inoome statoment for the year was $105.000 Excluslve of the etfect of other aajustments, the cash thows trom operating activibes to be reported on the statement of cast flows prepared by the Indirect method would be: O $109.000 O $118.000 O $105.000 r Question 1.33 Cash paid for squipment would be reported on the statement of cash hows In o the Cash tows from franing adivitios secion o te Cash tows fiom aperating aclivilies sectian a separale schedue

Answer 1

1.29

A decrease in accounts receivable would be added to net income

Option 3 is correct

1.30

Cash flows from Investing activities would include receipts from the sale of investments

Option 1 is correct

1.31

Gain on sale of Land should be deducted from net income

Option 4 is correct

1.32

Cash flows from Operating activities = 105000+51000-64000= $92000

Option 3 is correct

1.33

Cash paid for Equipment would be reported in the Cash flows from investing activities section

Option 1 is correct