QUESTION 2 Samuels Company prepares its statement of cash flows using the direct method and engaged in the following transactions during 2017: Transaction 1. Samuels purchased inventory on account. Transaction 2. Samuels collected open accounts receivable. Transaction 3. Samuels exchanged a building for land and cash. Transaction 4. Samuels issued 75,000 shares of preferred stock. Transaction 5. Samuels purchased a three-year fire insurance policy. Which of these transactions would not be included in whole or in part on the statement of cash flows? Transaction 1 only Transaction 5 only Transactions 1, 3, and 5 Transactions 1 and 3
QUESTION 2 Samuels Company prepares its statement of cash flows using the direct method and engaged in the following transactions during 2017: Transaction 1. Samuels purchased inventory on account. Transaction 2. Samuels collected open accounts receivable. Transaction 3. Samuels exchanged a building for land and cash. Transaction 4. Samuels issued 75,000 shares of preferred stock. Transaction 5. Samuels purchased a three-year fire insurance policy. Which of these transactions would not be included in whole or in part on the statement of cash flows? Transaction 1 only Transaction 5 only Transactions 1, 3, and 5 Transactions 1 and 3
Financial Accounting Intro Concepts Meth/Uses
14th Edition
ISBN:9781285595047
Author:Weil
Publisher:Weil
Chapter6: Statement Of Cash Flows
Section: Chapter Questions
Problem 38P
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QUESTION 2
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Samuels Company prepares its statement of
cash flows using the direct method and engaged in the following transactions during 2017:Transaction 1. Samuels purchased inventory on account.
Transaction 2. Samuels collected open accounts receivable.
Transaction 3. Samuels exchanged a building for land and cash.
Transaction 4. Samuels issued 75,000 shares ofpreferred stock .
Transaction 5. Samuels purchased a three-year fire insurance policy.Which of these transactions would not be included in whole or in part on the statement of cash flows?
Transaction 1 only
Transaction 5 only
Transactions 1, 3, and 5
Transactions 1 and 3
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