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Each of the Events Below May Have an Effect on the Statement

Question 132

Essay

Each of the events below may have an effect on the statement of cash flows.Designate how the event should be reported within the statement of cash flows using the codes provided below.Codes may be used more than once, or not at all.
Codes
I + investing activity; cash inflow
I - investing activity; cash outflow
F + financing activity; cash inflow
F - financing activity; cash outflow
O + operating activity; cash inflow
O - operating activity; cash outflow
NC noncash investing and financing activity
Events
_____ 1.Paid the weekly payroll
_____ 2.Paid an account payable
_____ 3.Issued bonds payable for cash
_____ 4.Declared and paid a cash dividend
_____ 5.Paid cash for a new piece of equipment
_____ 6.Purchased treasury stock for cash
Each of the events below may have an effect on the statement of cash flows.Designate how the event should be reported within the statement of cash flows using the codes provided below.Codes may be used more than once, or not at all. Codes I + investing activity; cash inflow I - investing activity; cash outflow F + financing activity; cash inflow F - financing activity; cash outflow O + operating activity; cash inflow O - operating activity; cash outflow NC noncash investing and financing activity Events _____ 1.Paid the weekly payroll _____ 2.Paid an account payable _____ 3.Issued bonds payable for cash _____ 4.Declared and paid a cash dividend _____ 5.Paid cash for a new piece of equipment _____ 6.Purchased treasury stock for cash

Correct Answer:

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1. O -
2. O -
3. F +...

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