Accounting : Chapter 14 Accounting Answer

Question 1For each of the following activities that may take place during the accounting period,indicate the effect on the statement of cash flows prepared using the indirectmethod. Choices may be selected as the answer for more than one question.Amortization of intangibleassetsPurchase of equipmentGain on sale of investmentsIncrease in AccountsReceivable balanceSale of landExchange of land for commonstockAcquisition of treasury stockAnswer 1Increase cash from operating activitiesAnswer 2Decrease cash from investing activitiesAnswer 3Decrease cash from operating activitiesAnswer 4Decrease cash from operating activitiesAnswer 5Increase cash from investing activitiesAnswer 6Non-cash investing and financing supplementAnswer 7Decrease cash from financing activitiesDecrease in Accounts PayablebalanceAnswer 8Repayment of long-term notepayableAnswer 9Payment of dividendsDecrease cash from operating activitiesDecrease cash from financing activitiesAnswer 10Decrease cash from financing activitiesQuestion 2Identify the section of the statement of cash flows where each of the following would bereported.Payment of dividends tostockholdersAnswer 1Sale of machinery held for useby the companyAnswer 2Decrease in inventoryIncrease in accounts receivableFinancing activitiesInvesting activitiesAnswer 3Operating activitiesAnswer 4Operating activitiesDividends received oninvestmentIssuance of bond payableIncrea ...


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