the balance sheet is useful for analyzing all of the following except - answer-USEFUL:
-liquidity
-solvency
-financial flexibility
NOT USEFUL:
-profitability
one criticism not normally aimed at a balance sheet prepared using current accounting and reporting standards is - answer-failure to ...
ACC 356 Exam 2 Review: Questions and
Answers 2024
the balance sheet is useful for analyzing all of the following except - answer-
✔USEFUL:
-liquidity
-solvency
-financial flexibility
NOT USEFUL:
-profitability
one criticism not normally aimed at a balance sheet prepared using current
accounting and reporting standards is - answer-✔failure to reflect current value
information
the statement of cash flows reports all of the following except - answer-✔DOES
REPORT:
-the net change in cash for the period
-the cash effects of operations during the period
-investing transactions
DOES NOT REPORT:
-the free cash flows generated during the period
which of the following events will appear in the cash flows from financing
activities section? - answer-✔cash purchase of treasury stock
, in preparing a statement of cash flows, cash flows from operating activities -
answer-✔can be calculated by appropriately adding to or deducting from net
income those items in the income statement that do not affect cash.
Keisler Corporation reports:
Cash provided by operating activities $280,000
Cash used by investing activities 110,000
Cash provided by financing activities 140,000
Beginning cash balance 90,000
What is Keisler's ending cash balance? - answer-✔90+280-110+140= $400,000
Jon has just received information that there were increases in both accounts
payable and accounts receivable for $12,000 and $15,000, respectively. The net
income is $230,000. What is the net cash provided by operating activities? -
answer-✔230+12-15= $227,000
Which of the following formulas are used to calculate the net assets of a business?
- answer-✔total assets minus total liabilities
Jake Stratta is an investor who is interested in purchasing a large block of shares of
Hamilton Industries. If Jake wants to predict Hamilton's future cash flows before
he makes his investment, which financial statement should he look at? - answer-
✔balance sheet
Malone, Inc. sold bonds of Goodwin Enterprises and also issued 10-year term
bonds to raise money for an expansion. What is the difference between these
transactions? - answer-✔Selling the bonds of goodwin enterprises would be a cash
inflow from INVESTING ACTIVITIES.
whereas issuing bonds would be cash inflow from FINANCING ACTIVITIES.
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