How can we check the balance sheet to determine the extent to which borrowed funds have been used to finance assets?

Q: Explain Distribution of Cash from Sale of Asset?

A: The question is based on the concept of distribution of cash to the shareholders , which is simply…

Q: Summarize the sources and uses of funds according to the changes in account activities?

A: The fund flow statement reveals the volume of financial transactions and explains the flow of funds…

Q: What factors affect the interest rate used to discount the cash flow expected from a financial asset

A: the interest rate that is used to discount the cashflow expected from a financial asset is nothing…

Q: What information does the statement of cash flowsreport that is not reported on the other required…

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

Q: An investment made in a fixed asset is similar to an investment made by a bank when it lends money.…

A: It is a long-term segment of a asset or property that an organization has and uses in the generation…

Q: le

A: Formula:  Current ratio = Current assets / Current liabilities Working capital = Current assets -…

Q: What is the Principle of Investing in Financial Assets?

A: A financial asset is a liquid asset that gets its value from an authoritative right or guarantee to…

Q: If a company has asset classes that include short-term and long-term investments, what criteria…

A: Cash Equivalents The short term investments that can be easily converted into cash in the business…

Q: Define Net cash flows from financing activities.

A: Net cash flow from financing activities is the difference between Cash inflows from the financing…

Q: What are assets in finance?

A: Assets: Assets are those items that provide value for money and future economic benefit for an…

Q: What category in the statement of cash flows is used when reporting cash spent on long-lived assets,…

A: Statement of cash flow : It consists of three activities which is operating activity, investing…

Q: How to record purchase of a  debt investment? Give an example.

A: Journal entry: Journal entry is a set of economic events which can be measured in monetary terms.…

Q: How do firms finance investments in current assets?

A: A current asset is the assets that only include those assets that can be easily converted to money…

Q: How is a Statement of Cash Flows audited?

A: Statement of cash flows is a statement that provides overview of all cash inflows and cash outflows…

Q: What are the advantages and disadvantages of financing assets through loans

A: Resource account is that the act of utilizing Associate in Nursing organization's financial record…

Q: Under what conditions should investments be classified as current assets? As long-term assets?

A: A current asset is a cash and other assets that are reasonably expected to be converted into cash…

Q: “Should other liquid assets be considered as money?” Describe your answer with best examples through…

A: Assets contains those resources which can be owned by an individual and a company, as well as assets…

Q: What makes current liabilities different from long term liabilities?

A: Hey, since there are multiple questions posted, we will answer first question. If you want any…

Q: Describe the Principle of Investing in Financial Assets?

A: The financial assets are those assets which are not having a physical existence like stocks, fixed…

Q: Why is the statement of cash flows required as part of the set of external financial statements?…

A: Please find the answer to the above question below:

Q: Borrowing cost can be capitalized as cost of the assets when

A: Borrowing costs are costs related to amount borrowed or loans taken. This is the interest expense…

Q: Explain an example how to record the purchase of debt investment.

A: When a debt investment is purchased , it is recorded as a asset in the books of the company as it is…

Q: How is valuation of any financial asset related to future cash flows?

A: Valuation of a financial asset=Present value of expected future cash flows

Q: How can we obtain the Cash flow from financing activities?

A: Cash Flow Statement forms part of Financial Statements and it comprises three sets of activities…

Q: What is the amount and direction (+ or −) of the income taxes payable adjustment to net income in…

A: Cash flow statement indicates inflow and outflow of cash in a business. It categorizes the business…

Q: List some common cash outflows from capital investments.

A: Cash outflows from capital investments: 1) Purchase of Land, Buildings, Plant,vehicles etc. There is…

Q: Provide a brief explanation of why depreciation of capital assets is considered in determining…

A: Capital assets are those assets which are held by the business for longer period of time.…

Q: FINANCING ACTIVITIES How much is the net cash provided by financing activities?

A: Cash flows from financing activities is an important section of cash flow statement, which shows all…

Q: Explain the Cash Flow Statement with Financing Activities?

A: Cash flow from financial activities is one of the important part of cash flow statement. It…

Q: What guidance does the Codification provide on the classification of current liabilities?  What…

A: Note: Hey, since there are multiple questions posted, we will answer first question. If you want any…

Q: Define cash flows from financing activities.

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

Q: Classify following cash flows as operating, investing, or financing activities. Cash received as…

A: Statement of cash flow: It refers to a financial statement that shows all the cash payments and…

Q: The funds invested in current assets are termed as

A: When a business is incorporated by the owners, there are some investments made by the…

Q: Can the Current assets be converted into cash?

A: Assets: These are the resources owned and controlled by business and used to produce benefits for…

Q: List some common cash inflows from capital investments.

A:

Q: An investment made in a fixed asset is similar to an investment made by a bank when it lends money.…

A: Fixed asset: Fixed asset is a long-period section of an asset or property that an entity has and…

Q: How would the acquisition of a building be reported on a statement of cash flows if purchased by…

A: Cash flow statement:   It is a financial statement prepared by an organization to report the inflow…