Operating
The first item we start within the operating section
Net Income
This section looks at the cash from _________
Buying or selling assets
This section includes changes to what categories______
Notes, Bonds, Stocks, Dividends
Sale of land for cash is in what section?
Investing (possibly operating too, if there is gain or loss)
Payment of income taxes is in which section?
Operating
Opposite
Cash inflows for the sale of assets are entered as a ______numbers.
positive
Purchase of treasury stock would be a _____
cash outflow (negative)
Purchase of rent in advance is in what section?
Operating (pre paid rent)
Exchange of land for a new patent is in which section?
None
Changes in current liabilities are entered the _____as the description
same
A loan to another company is entered as ______
cash outflow (negative) number
Issuance of bonds would be ___
cash inflow (positive)
Payment of accounts payable is in which section?
Operating
The purpose of the cash flow statement is?
To show how the company used its cash.
True or False- Adjustments to net income include accumulated deprecition
False
Sale of equipment for a note receivable is entered as _____.
nothing- it's a non-cash transaction
Payment of dividends would be ____
cash outflow (negative)
Collection of a notes receivable is in which section?
Investing
Which statements do you use to prepare the Cash Flow Statement?
Income and Balance Sheet
The title at the end of this section is ______
Net cash flows from operations or Net cash flow from operating activities.
Sale of equipment is entered as _____
cash inflow (positive).
Issuance of common stock would be _____.
cash inflow (positive)
Issuance of bonds is in which section?
Financing
What are the two methods for reporting cash flows?
Direct and Indirect