WorksheetsQuiz on Cashflow Statement
Total questions: 15
Worksheet time: 11mins
1. A financial statement that shows the inflows and outflows of cash during a particular period of time is known as the
Income Statement
Statement of Retained earnings
Balance Sheet
Cash flow statement
2. A Cash flow statement is prepared according to
IAS-1
IAS-5
IAS-7
IAS-10
3. What is the primary purpose of the statement of cash flow
To provide a summary of Revenues and Expenses
To Show the financial position at specific point of time
To show the cash inflow and outflow over a period
To report on shareholder equity
4. The key activity in cash flow statement is
Operating Activities
Financial Activities
Investing Activities
None of the above
5. Which type of activity would include paying dividend
Operating activities
Financial activities
Investing activities
Non-cash investing activities
6. What is the correct treatment of the purchase of new machinery in the cash flow statement.
Cash inflow under operating activities
Cash outflow under investing activities
Cash inflow under financial activities
Cash inflow under investing activities
7. What should be included in the cash flows from Financial activities
Repayment of Bank Loan
Salaries paid to employees
Purchase of Inventory
Cash collected from customers
8. Which of the following would appear in the Investing activities.
Payment to suppliers
Issue of shares
Sale of Building
Dividend paid
9. A statement of cash flow has
3 section
2 section
4 section
5 section
10. Which of the following is not an investing cashflow
Purchase of marketable securities 25,000
Sale of 2500 shares at 15 per share
Sale of land 28,000
Purchase of furniture 5,000
11. Under the indirect method of preparing cash flow statement depreciation expenses affects
Operating activities
Investing activities
Financing activities
Notes of financial statement
12. A machine costing 10,000 has been sold for 7000 (accumulated depreciation 4000) what is profit or loss
Loss 1,000
Profit 3,000
Loss 3,000
Profit 1,000
13.The share capital of previous years is 2,00,000 and current year it is 2,50,000 what is the entry
Redemption of shares 50,000 in financing activities
Issue of shares 15,000 in financing activities
Purchase of shares 50,000 in investing activities
Issue of shares 50,000 in financing activities
14. Interim dividend given as information is entered in
Operating activities
Investing activities
Operating and Financial activities
Financial activities
15. Goodwill in previous year 20,000 and current year 18,000, pass the entry
2000 amortized in operating activities
2000 written off in operating activities
2000 written off in investing activities
18,000 written off in operating activities
