All of the following are financing activities except:Group of answer choicesSelling capital stock.Lending money.Borrowing money.Paying dividends.

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Cash flows from investing activities include all of the following except:Group of answer choicesCash proceeds from borrowing.Cash proceeds from collections on loans.Cash proceeds from selling investments.Cash advanced to borrowers.
Cash flows from operating activities include all of the following except:Group of answer choicesPayments of dividends.Payments of interest.Collections from customers for sales of goods.Interest and dividends received.
In a statement of cash flows, the term "cash" includes:Group of answer choicesOnly money on deposit in bank accounts.Bank accounts, cash on hand, cash equivalents, and marketable securities classified as current assets.Only bank accounts and cash on hand.Bank accounts, cash on hand, and cash equivalents.
All of the following are considered cash equivalents except:Group of answer choicesTreasury bills.Commercial paper.Money market funds.Marketable securities.
Which of the following does not decrease the cash flow from operating activities?Group of answer choicesThe prepayment of an expense, the purchase of operating equipment, and the payment of interest all decrease cash from operating activities.The purchase of operating equipment.The payment of interest.The prepayment of an expense.
Which of the following is not classified among the financing activities in a statement of cash flows?Group of answer choicesPayment of interest to creditors.Long-term borrowing.Payment of dividends to stockholders.Short-term borrowing.
In the statement of cash flows, the purchase of supplies is classified as:Group of answer choicesFinancing activities.Investing activities.Managing activities.Operating activities.
The "bottom line" in a statement of cash flows shows:Group of answer choicesNet cash flow from operating activities.Net increase or decrease in cash during the period.Net income, computed by the cash basis of accounting.The cash (including cash equivalents) on the balance sheet at the end of the period.
A cash dividend paid to shareholders is reported on the:Group of answer choicesFinancing activities section of the statement of cash flows.Operating activities section of the statement of cash flows.Income statement.Balance sheet.
In a statement of cash flows, cash transactions are classified into three major categories. Which of the following is not one of these three categories?Group of answer choicesInvesting activities.Managing activities.Financing activities.Operating activities.
In a statement of cash flows, payments of dividends are classified as:Group of answer choicesCosts and Expenses.Investing activities.Financing activities.Operating activities.
In a statement of cash flows, collections of accounts receivable are classified as:Group of answer choicesFinancing activities.Investing activities.Revenues and Gains.Operating activities.
A statement of cash flows is not intended to assist investors in evaluating:Group of answer choicesReasons for differences between the amount of net income and net cash flow from operations.Non-cash aspects of investing and financing activities.The company"s ability to meet its obligations and to pay dividends.The profitability of business operations.
Which of the following is not classified among the investing activities in a statement of cash flows?Group of answer choicesCollection of the principal amount of cash loans made to others.Investment of cash made in the business by the owners.Purchase of plant assets for cash.Purchase of marketable securities for cash.
When equipment is sold at a loss:Group of answer choicesThe net proceeds are shown in the financing section.The book value of the asset is shown in the investing section, and the loss is shown in the operating section.The net proceeds are shown in the investing section.The book value of the asset is shown in the investing section.
Which of the following is an investing activity?Group of answer choicesPurchase of equipment.Payment of interest.Issuing long-term debt.Issuing common stock.

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Which of the following is a financing activity?Group of answer choicesMaking sales on account.Payment of interest.Payment of dividends.Paying off accounts payable.
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