Any transaction between a current account and another current account does not affect [A] profit [B] funds [C] working capital [D] capital

Q: Multiple Choice Are revenues. Increase income. Are liabilities. Are not allowed under GAAP. Require…

A: When a company receives money in advance of earning it, the accounting entry is a debit to the asset…

Q: Which item could normally be treated similarly under both cash basis and accrual basis of…

A: Basis of the accounting is defined as the methodology under which the expenses as well as the…

Q: If the total asset is smaller than total liabilities and equity on the balance sheet, what does that…

A: If total asset is smaller than total liabilities and equity then it means there is surplus of…

Q: Which of the following would not be considered a cash flow from "operating" ?activities اخترأحد…

A: Note: Since you have posted multiple questions, we will solve the first question for you. To get the…

Q: Depreciation is incorporated in cash flows because it:  A. Is unavoidable cost B. Is a cash…

A: Depreciation: Depreciation is a method of reducing the capitalized cost of long-lived operating…

Q: Define Cash Flow Statement and Its All activitie

A: The cash flow statement is prepared to record the cash flow from various activities during the…

Q: are payments and receipts of interest classified as operating activities rather than as financing or…

A:

Q: Accounts payable is part of the Working Capital. " O True O False

A: Working capital It is the variance between the entity’s current assets and the current liabilities.

Q: A disadvantage of using the payback period to compare investmentalternatives is that it;

A: Payback period: The payback period is the time period required to recover the initial investment of…

Q: Which of the following types of information is not provided by the statement of cash flows?  Select…

A: Statement of cash flows: This statement reports all the cash transactions which are responsible for…

Q: Which one does not decrease retained earnings? Net loss Net income Appropriation Dividends

A: The correct option in the given question is: NET INCOME

Q: Working capital management is a financial decision-making process.    a. True b. False

A: Working capital management is critical to a company's core financial health and operational…

Q: Which of the following would not be considered a form of capital? A. Cash B. Credit Card C. Money…

A: Introduction: Capital: Owners contribution in business called as Capital.

Q: Differentiate between Current Account vs Capital Account.

A: Account: A record, that documents or records the changes in assets, liabilities, or equity for a…

Q: Which of the following should NOT be taken into account in calculating free cash flow? Select one:…

A: Free Cash Flow = Net income + Depreciation – Change in Working Capital – Capital Expenditure

Q: Under U.S. GAAP, the statement of cash flows classifies cash expenditures for interest expense as an…

A: (U.S. GAAP) GENERALLY ACCEPTED ACCOUNTING PRINCIPLES ARE COLLECTION OF THE ACCOUNTING RULES AND…

Q: An increase in Accounts Receivables is :  a A negative item for calculating Operating Cash Flow  b…

A: Accounts receivables is that amount of the total sales which customers still owe to the firm.

Q: In cash basis accounting, for tax purposes: a.Income is generally recognized when it is actually or…

A: There are two types or forms of accounting, that are used. These are cash basis accounting and…

Q: Which of the following statements is CORRECT? O Free cash flow (FCF) is defined as follows: FCF…

A: The answer along with the reasons for incorrect options are provided below.

Q: Why Do Capital Expenditures Increase An Organization's Assets ,While Other Expenditures, Like Paying…

A: capital expenditure

Q: Which of the following accounts is least likely to have its balance change on the worksheet? a.…

A: Salary payable = salaries payable is the amount payable to employees. supplies = supplies are the…

Q: Payment of dividend is reported as cash ?flow from "operating" activities اخترأحد الخیارات a. True O…

A:

Q: Which of the basic financial statements is not prepared using the accrual basis of accounting…

A: Accrual Basis if Accounting refers to that any income or expenses are treated as income or expenses…

Q: 1. Identify a basis that cannot be used for the measurement of the elements of financial statements.…

A: Financial statements are statements or reports that are prepared at the end of the financial…

Q: Which of the following does not affect net working capital?   purchase of ordinary share capital…

A: Working capital is excess of current asset over current liabilities. Any changes in current assets…

Q: Capital Expenditures are Select one: O a. None of the these O b. Reduces profit O c. Expenses…

A: Since you have posted multiple questions we will answer the first question for you as per the…

Q: Which of the following returns is consistent with contractual cash flows that are SPPI?…

A: (1) S.P.P.I. Test - The solely payments of principal and interest test. (2) This requires that the…

Q: Which of the following cannot be treated as revenues for an entity? Cash sales OCredit sales…

A: Cash Sales - These are sales made against cash.  Credit Sales - It refers to a sale in which the…

Q: the "investment in branch" is an asset account in the branch's individual financial statements  a.…

A: A branch is an underlying department or division of an organization. The scattered distribution of…

Q: The portion of an entity’s cash account that is held as a compensating balance must be aggregated…

A: A compensating balance refers to the minimum portion of an entity’s cash account that a borrower…

Q: An appropriation of Retained Earnings a. leaves total Retained Earnings unchanged b. means that…

A: Journal entry for appropriation of Retained earnings: Debit: Retained earnings Credit: Appropriated…

Q: Which of the following statements is correct regarding revenue and expense accounts?   These are…

A: Solution: "These are really owners’ equity accounts" is correct regarding revenue and expense…

Q: Which item could normally be treated similarly under both cash basis and accrual basis of…

A: Cash basis of accounting is a system in which all revenues and expenses in cash are recorded for…

Q: Which of the following financial statements is generally prepared first? Choose Income statement. ld…

A: Hello. Since your question has multiple parts, we will solve the first question for you. If you want…

Q: Which of the following is not a source of funds for immediate liquidity purposes? a. Proceeds from…

A: Liquidity refers to the ability to obtain cash so that immediate requirements can be met. It refers…

Q: unlike depreciation and retained earnings, the interest expense does not have to directly tie on any…

A: Depreciation is shown both under the balance sheet and the income statement. Retained earnings are…

Q: Which one of the following statements best describes a cash outflow in relation to the statement of…

A: Statement of cash flow is used to show the cash inflows and cash outflows which are further…

Q: Which of the following accounts would never be reported in the income statement as an expense?…

A: generally all the temporary accounts are closed at the end of fiscal year to the income…

Q: 12. The statement of cash flows should not be used to evaluate an entity s ability to: (a) earn net…

A: Statement of cash flows is a part of financial statements of entity and is prepared to ascertain the…

Q: Under U.S. GAAP, the statement of cash flows classifies cash expenditures for interest expense on…

A: The recording of interest expense and dividends paid are assessed under US GAAP.

Bookkeeping

Bookkeeping is the process of recording the financial transactions of a company on a regular basis. With the process of bookkeeping, companies can track important financial information that helps management in making crucial decisions.