C) Cash Received from Customers. The correct answer is “$1,000” (option 4). Which of the following is not an operating cash flow? Your answer is incorrect. 2 Depreciation on fixed Assets was Rs 100000 for the year 3 Interest received on investment was Rs 90000 4 Dividend received on investment Rs 70000 Cash flow from Investing activities will be: During the year, the company had sold 20 % of its investment at a profit of Rs 21000 .Calculate cash flow from operating activity and cash flow from investing activity if company earned a profit of Rs 50000 during the year will be: Following is the information relating to Akash Ltd. During the year a Machine sold for Rs 45000 On which Accumulated depreciation was Rs 67500 . Your answer is incorrect. In this section of the cash flow statement, there can be a wide range of items listed and included, so it’s important to know what investing activities are in accounting.Investing Activities Include: 1. Your answer is incorrect. © 2020, Arinjay Academy. The following information belongs to Noor Merchandising Company: Based on the above information, the net cash provided by operating activities is: Your answer is incorrect. Cash payment for income tax = Income tax expense reported in income statement – Increase in income tax payable during the year. You must sign in or sign up to start the quiz. (a). Answer. Cash collected from customers = Net credit sales – Increase in accounts receivable. This transaction would affect: Your answer is incorrect. Cash paid to suppliers = COGS – Decrease in inventory – Increase in A/C P.A. (b) Payment of cash to repurchase outstanding capital stock. Cash Flow Statement Investing Activities Example… Let’s look at an example of what investing activities include. (a) Receipt of cash from the issuance of bonds payable. Accounting For Management. The statement of cash flows is designed with the purpose of helping users to assess each of the following, except: Your answer is incorrect. Cash collected from customers = Net credit sales – Decrease in accounts receivable. Your answer is incorrect. A) Payment of Dividends. Cash Flow from Investing Activities Example: 4. Get more help from Chegg. Payment of cash to repurchase outstanding capital stock – it is also a financing activity. Overall Apple had a positive cash flow from investing activity despite spending nearly $8 billion on new property, plant, and equipment. Answer: D. 7. 8. The correct answer is “$95,000” (option 4). Your answer is incorrect. As per AS-3, Cash Flow Statement is mandatory for A) All enterprises B) Companies listed on a stock exchange C) Companies with a turnover of more than Rs 50 crores a) Both A and B b) Both A and C c) Both C and B View Answer / Hide Answer It includes only cash transactions and not any credit transactions. Show your love for us by sharing our contents. Significant non-cash investing and financing activities are reported in the: Your answer is incorrect. Receipt of cash from the sale of equipment – it is an investing activity. The book value of the plant is $7,000. Your answer is incorrect. Cash flow example from a financing activity is. Under indirect method of preparing statement of cash flows, depreciation expense affects: Your answer is incorrect. Cash paid to suppliers = Cost of goods sold + Increase in inventory during the period + Decrease in accounts payable during the period Cash flow example from an investing activity is Select one: Sale of Investment by Non-Financial Enterprise O Issue of shares O Repayment of long-term Loan O Purchase of Raw Materials for Cash . Your answer is incorrect. An example of cash flow from investing activity is : (A) Issue of debenture (B) Repayment of long-term loan (C) Purchase of raw materials for cash (D) Sale of investment by non-fmancial enterprise. Based on the above information, cash payment for the income tax during the year 2017 was: Your answer is incorrect. C) Investing and Non-operating Flows. or The correct answer is “$220,000” (option 2). The following data belongs to Soft Company: Based on the above information, the total cash collected from customers by Soft Company during the year 2017 is: The formula is: The correct answer is “$28,000” (option 1). The correct answer is “as foot notes or separate notes to the financial statements” (option 3). (a) Receipt of cash from the issuance of bonds payable. The correct answer is “all of the above” (option 4). The correct answer is “purchase of equipment for cash” (option 4). The relevant information is given below: Based on the above information, the operating activities section of the statement of cash flows of current year would be affected by: Your answer is incorrect. The correct answer is “$23,000 cash provided by investing activities, and $60,000 cash disbursed for investing activities” (option 2). (c) Receipt of cash from the sale of equipment. D) Purchase of Fixed Asset. The following data belongs to Care Company: Based on the above information, the net cash collected from customers by Care Company during the year 2017 is: The formula is: The correct answer is “repayment of short-term loan” (option 4). All transactions related to land account was cash transactions. Receipt of cash from the issuance of bonds payable – it is a financing activity. The book value of the equipment sold is $4,500. (b) Payment of cash to repurchase outstanding capital stock. Depreciation charged on machinery during the year is: From the following information what will be the amount of asset purchased during the year, Additional information 1 During the year a machine costing Rs 30000 accumulated deprecation Rs 22000 was sold for Rs 9500. Your answer is incorrect. Home » Accountancy Class 12 » Cash flow from investing activities example | Class 12. Cash flow from investing activities example | Class 12, Unit Number 319, Vipul Trade Centre, Sohna Road, Gurgaon, Sector 49, Gurugram, Haryana 122018, India, Monday – Friday (9:00 a.m. – 6:00 p.m. PST) Saturday, Sunday (Closed), Financing Activities in a Cash Flow Statement, Purchase of fixed assets cash flow statement, Payment made in cash to acquire fixed assets, Cash advances and loans made to third parties, Payments made in cash to acquire shares, warrants or debt instruments of other enterprises, Cash received on account of interests and dividends, Receipts in cash of insurance claims of third parties. The Northern Company reported income tax expense of $30,500 on its income statement for the year December 31, 2017. (43) An example of cash flow from investment activity is. D) Operating, Investing, and Financing Activities. The income statement reported a loss on sale of land in the amount of $2,000. The land account was debited by $60,000 and credited by $25000 during the current year. Which of the following is not an investing cash flow? Cash Flow from Investing Activities includes flow of cash which arises due to purchase or sale of fixed assets like land, building, plant & machinery etc. Please Help to have correct answer.I will be great full if any body can help providing correct answer. Which of the following is not a financing activity: Your answer is incorrect. Cash Flow Statement & AS-3 - MCQs with answers 1. (43) An example of cash flow from investment activity is. These transactions would be shown in the statement of cash flows as: Your answer is incorrect. It is an important aspect of growth and capital. The correct answer is “operating activities section” (option 1). payment of cash to suppliers of inventory – it is an operating activity. B) Receipt of Dividend on Investment. The correct answer is “sale of 2,500 shares of common stock for $15 each” (option 3). Answer: A. The correct answer is “the profitability of the entity” (option 4). (d) Payment of cash to suppliers for inventory. (c) Receipt of cash from the sale of equipment. The correct answer is “sale of investment” (option 2). The comparative balance sheet of the company showed that income tax payable on December 31, 2016 and December 31, 2017 was $4,000 and $6,500 respectively. The correct answer is “3 sections” (option 1). The correct answer is “statement of cash flows” (option 4). Cash paid to suppliers = Cost of goods sold – decrease in inventory during the period – Increase in accounts payable during the period, Copyright 2012 - 2020.
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