College Acct 2 Review- Ch. 13, 14, 1, 2, 3

When computing the net cash provided by operating activities using the indirect method on the statement of cash flows, which item below would NOT be added to net income?

• Depreciation

• Loss on the sale of an asset

• Decrease in accounts receivable

• Decrease in accounts payable

• $(21,000)

• $(69,000)

• $(32,000)

• $(12,000)

On the statement of cash flows, some of these events are classified as operating activities, some are classified as investing activities, and some are classified as financing activities.

Based solely on the information above, the net cash provided by (used in) financing activities on the statement of cash flows would be:

• $(130,000)

• $130,000

• $70,000

• $(70,000)

On the statement of cash flows, some of these events are classified as operating activities, some are classified as investing activities, and some are classified as financing activities.

Based solely on the information above, the net cash provided by (used in) investing activities on the statement of cash flows would be:

• $(280,000)

• $(1,286,000)

• $(390,000)

• $(760,000)

Based solely on the above information, the net cash provided by (used in) financing activities for the year on the statement of cash flows would be:

• $(1,000)

• $424,000

• $(138,000)

• $7,000

In a statement of cash flows, the sale of a long-term investment would ordinarily be classified as:

• an operating activity

• an investing activity

• a financing activity

• a lending activity

In a statement of cash flows, a change in an income taxes payable account would be recorded in the:

• stockholders' equity section

• financing activities section

• operating activities section

• investing activities section

On the statement of cash flows, some of these events are classified as operating activities, some are classified as investing activities, and some are classified as financing activities.

Based solely on the information above, the net cash provided by (used in) financing activities on the statement of cash flows would be:

• $1,286,000

• $104,000

• $(8,000)

• $(14,000)

Stuart Corporation's net cash provided by operating activities was $175; its capital expenditures were $122; and its cash dividends were $32. The company's free cash flow was:

• $21

• $0

• $(21)

• $85

Which one of the following transactions should be classified as a financing activity on the statement of cash flows?

• Purchase of the company's own stock

• Purchase of equipment

• Sale of a long-term investment

• Payment of interest to a lender