Cash Flow Statement: Cash flow statement is that statement in which, transaction related to cash are recorded. It is mandatory report and included in the financial statement of the company. It is divided into three parts operating activities, investing activity, and financial activity Operating Activity: Operating activity is the first part of the cash flow statement. The main focuses of the operating activity on the cash inflow and outflow from the selling goods, providing services and manufacturing. Long term capital and investing cost are not included in the operating activity. Financial Activity: Financial activity is the part of the cash flow statement. Financial activity involves the long term liability, borrowing and stockholder’s equity. All the changes in the long term liability, equity and borrowings reported in the financial statement. Investing Activity: Investing activity is the third part of the cash flow statement which gives the information related to the acquisition and disposal of the long term assets of the company such as land and building, investment and plant. 1. To identify: Method used in making the cash flow statement.

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Answer 1

Question

Chapter 12, Problem 1AA

To determine

Cash Flow Statement:

Cash flow statement is that statement in which, transaction related to cash are recorded. It is mandatory report and included in the financial statement of the company. It is divided into three parts operating activities, investing activity, and financial activity

Operating Activity:

Operating activity is the first part of the cash flow statement. The main focuses of the operating activity on the cash inflow and outflow from the selling goods, providing services and manufacturing. Long term capital and investing cost are not included in the operating activity.

Financial Activity:

Financial activity is the part of the cash flow statement. Financial activity involves the long term liability, borrowing and stockholder’s equity. All the changes in the long term liability, equity and borrowings reported in the financial statement.

Investing Activity:

Investing activity is the third part of the cash flow statement which gives the information related to the acquisition and disposal of the long term assets of the company such as land and building, investment and plant.

1.

To identify: Method used in making the cash flow statement.

2.

To determine

To identify: Whether the cash paid as dividend is more or less than cash from operating activities.

3.

To determine

To identify: Largest amount difference between net income and operating activities.

4.

To determine

To identify: Largest cash inflow and outflow in financing and investing activities,

5.

To determine

To identify: Largest cash inflow and outflow in the investing and financing activities.

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Refer to Samsung’s 2017 statement of cash flows. List its cash flows from operating activities, investing activities, and financing activities.

Answer 2

Question

Chapter 12, Problem 1AA

To determine

Cash Flow Statement:

Cash flow statement is that statement in which, transaction related to cash are recorded. It is mandatory report and included in the financial statement of the company. It is divided into three parts operating activities, investing activity, and financial activity

Operating Activity:

Operating activity is the first part of the cash flow statement. The main focuses of the operating activity on the cash inflow and outflow from the selling goods, providing services and manufacturing. Long term capital and investing cost are not included in the operating activity.

Financial Activity:

Financial activity is the part of the cash flow statement. Financial activity involves the long term liability, borrowing and stockholder’s equity. All the changes in the long term liability, equity and borrowings reported in the financial statement.

Investing Activity:

Investing activity is the third part of the cash flow statement which gives the information related to the acquisition and disposal of the long term assets of the company such as land and building, investment and plant.

1.

To identify: Method used in making the cash flow statement.

2.

To determine

To identify: Whether the cash paid as dividend is more or less than cash from operating activities.

3.

To determine

To identify: Largest amount difference between net income and operating activities.

4.

To determine

To identify: Largest cash inflow and outflow in financing and investing activities,

5.

To determine

To identify: Largest cash inflow and outflow in the investing and financing activities.

Expert Solution & Answer

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Answer 3

Question

Chapter 12, Problem 1AA

To determine

Cash Flow Statement:

Cash flow statement is that statement in which, transaction related to cash are recorded. It is mandatory report and included in the financial statement of the company. It is divided into three parts operating activities, investing activity, and financial activity

Operating Activity:

Operating activity is the first part of the cash flow statement. The main focuses of the operating activity on the cash inflow and outflow from the selling goods, providing services and manufacturing. Long term capital and investing cost are not included in the operating activity.

Financial Activity:

Financial activity is the part of the cash flow statement. Financial activity involves the long term liability, borrowing and stockholder’s equity. All the changes in the long term liability, equity and borrowings reported in the financial statement.

Investing Activity:

Investing activity is the third part of the cash flow statement which gives the information related to the acquisition and disposal of the long term assets of the company such as land and building, investment and plant.

1.

To identify: Method used in making the cash flow statement.

2.

To determine

To identify: Whether the cash paid as dividend is more or less than cash from operating activities.

3.

To determine

To identify: Largest amount difference between net income and operating activities.

4.

To determine

To identify: Largest cash inflow and outflow in financing and investing activities,

5.

To determine

To identify: Largest cash inflow and outflow in the investing and financing activities.

Expert Solution & Answer

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See solution

Answer 4

Question

Chapter 12, Problem 1AA

To determine

Cash Flow Statement:

Cash flow statement is that statement in which, transaction related to cash are recorded. It is mandatory report and included in the financial statement of the company. It is divided into three parts operating activities, investing activity, and financial activity

Operating Activity:

Operating activity is the first part of the cash flow statement. The main focuses of the operating activity on the cash inflow and outflow from the selling goods, providing services and manufacturing. Long term capital and investing cost are not included in the operating activity.

Financial Activity:

Financial activity is the part of the cash flow statement. Financial activity involves the long term liability, borrowing and stockholder’s equity. All the changes in the long term liability, equity and borrowings reported in the financial statement.

Investing Activity:

Investing activity is the third part of the cash flow statement which gives the information related to the acquisition and disposal of the long term assets of the company such as land and building, investment and plant.

1.

To identify: Method used in making the cash flow statement.

2.

To determine

To identify: Whether the cash paid as dividend is more or less than cash from operating activities.

3.

To determine

To identify: Largest amount difference between net income and operating activities.

4.

To determine

To identify: Largest cash inflow and outflow in financing and investing activities,

5.

To determine

To identify: Largest cash inflow and outflow in the investing and financing activities.

Expert Solution & Answer

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See solution

Answer 5

Chapter 12, Problem 1AA

To determine

Cash Flow Statement:

Cash flow statement is that statement in which, transaction related to cash are recorded. It is mandatory report and included in the financial statement of the company. It is divided into three parts operating activities, investing activity, and financial activity

Operating Activity:

Operating activity is the first part of the cash flow statement. The main focuses of the operating activity on the cash inflow and outflow from the selling goods, providing services and manufacturing. Long term capital and investing cost are not included in the operating activity.

Financial Activity:

Financial activity is the part of the cash flow statement. Financial activity involves the long term liability, borrowing and stockholder’s equity. All the changes in the long term liability, equity and borrowings reported in the financial statement.

Investing Activity:

Investing activity is the third part of the cash flow statement which gives the information related to the acquisition and disposal of the long term assets of the company such as land and building, investment and plant.

1.

To identify: Method used in making the cash flow statement.

2.

To determine

To identify: Whether the cash paid as dividend is more or less than cash from operating activities.

3.

To determine

To identify: Largest amount difference between net income and operating activities.

4.

To determine

To identify: Largest cash inflow and outflow in financing and investing activities,

5.

To determine

To identify: Largest cash inflow and outflow in the investing and financing activities.

Answer 6

Chapter 12, Problem 1AA

To determine

Cash Flow Statement:

Cash flow statement is that statement in which, transaction related to cash are recorded. It is mandatory report and included in the financial statement of the company. It is divided into three parts operating activities, investing activity, and financial activity

Operating Activity:

Operating activity is the first part of the cash flow statement. The main focuses of the operating activity on the cash inflow and outflow from the selling goods, providing services and manufacturing. Long term capital and investing cost are not included in the operating activity.

Financial Activity:

Financial activity is the part of the cash flow statement. Financial activity involves the long term liability, borrowing and stockholder’s equity. All the changes in the long term liability, equity and borrowings reported in the financial statement.

Investing Activity:

Investing activity is the third part of the cash flow statement which gives the information related to the acquisition and disposal of the long term assets of the company such as land and building, investment and plant.

1.

To identify: Method used in making the cash flow statement.

Answer 7

Chapter 12, Problem 1AA

To determine

Cash Flow Statement:

Cash flow statement is that statement in which, transaction related to cash are recorded. It is mandatory report and included in the financial statement of the company. It is divided into three parts operating activities, investing activity, and financial activity

Operating Activity:

Operating activity is the first part of the cash flow statement. The main focuses of the operating activity on the cash inflow and outflow from the selling goods, providing services and manufacturing. Long term capital and investing cost are not included in the operating activity.

Financial Activity:

Financial activity is the part of the cash flow statement. Financial activity involves the long term liability, borrowing and stockholder’s equity. All the changes in the long term liability, equity and borrowings reported in the financial statement.

Investing Activity:

Investing activity is the third part of the cash flow statement which gives the information related to the acquisition and disposal of the long term assets of the company such as land and building, investment and plant.

1.

To identify: Method used in making the cash flow statement.

Answer 8

2.

To determine

To identify: Whether the cash paid as dividend is more or less than cash from operating activities.

Answer 9

2.

To determine

To identify: Whether the cash paid as dividend is more or less than cash from operating activities.

Answer 10

3.

To determine

To identify: Largest amount difference between net income and operating activities.

Answer 11

3.

To determine

To identify: Largest amount difference between net income and operating activities.

Answer 12

4.

To determine

To identify: Largest cash inflow and outflow in financing and investing activities,

Answer 13

4.

To determine

To identify: Largest cash inflow and outflow in financing and investing activities,

Answer 14

5.

To determine

To identify: Largest cash inflow and outflow in the investing and financing activities.

Answer 15

5.

To determine

To identify: Largest cash inflow and outflow in the investing and financing activities.

Answer 16

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Answer 17

Expert Solution & Answer

Answer 18

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Answer 19

Ch. 12 - Prob. 1MCQ Ch. 12 - Prob. 2MCQ Ch. 12 - Prob. 3MCQ Ch. 12 - Prob. 4MCQ Ch. 12 - Prob. 5MCQ Ch. 12 - Prob. 1DQ Ch. 12 - Prob. 2DQ Ch. 12 - Prob. 3DQ Ch. 12 - Prob. 4DQ Ch. 12 - Prob. 5DQ

Solution Summary: The author explains how the cash flow statement is divided into three parts: operating activities, investing activity, and financial activity.

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To identify: Whether the cash paid as dividend is more or less than cash from operating activities.

To identify: Largest amount difference between net income and operating activities.

To identify: Largest cash inflow and outflow in financing and investing activities,

To identify: Largest cash inflow and outflow in the investing and financing activities.

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