An example of Cash Flow from Investing Activities :
1. Cash Sales
2.Issue of Shares
3. Payment of cash for purchase of machinery
4.Payment of Dividend
An example of Cash Flows from Financing Activity is :
1.Sale of goods
2. Sale of Investment
3. Cash receipts from issue of shares
4. Interest received
Cash flow statement according to AS-3 is mandatory to:
1.All enterprises
2.Companies listed on a stock exchange
3.Enterprises having turnover expending 50 Rs crore
4. (b) & (c) both
Cash Flow Statement in based upon:
1.Cash basis of accounting
2.Accrual basis of accounting
3.(a) and (b) both
4. None of these
Cash Flow Statement is prepared from:
1. Balance Sheet
2.Profit & Loss Account
3. Additional Information
4. All of these
Cash Flow Statement is related to:
1.AS-3
2. AS-6
3. AS-9
4. AS-12
Cash from operation is equal to :
1. Net Profit + Increase in Current Assets
2.Net Profit + Decrease in Current Liabilities
3.Operating Profit + Adjustment of Current Assets and Current Liabilities
4.All of the above
Cash payment to employees is a Cash Flow from:
1. Operating Activities
2. Investing Activities
3.Finance Activities
4.All the above
Claims received from Insurance Companies are treated as:
1. Cash Flow from Operating Activities
2.Cash Flow from Investing Activities
3.Cash Flow from Financing Activities
4. None of these
Decrease in Current Asset is……….in operating profit
1. Subtracted
2.Added
3. Divided
4. Multiplied
Following are included in cash equivalent:
1. Treasury Bill
2. Trade Bill
3.Bank Deposits of Short Maturity Period
4.All of above
Following are true about cash equivalent:
1. More Liquid Short-term Investment
2.Minimum risk
3.Maturity of 3 months or less than 3 months
4.All the above
Following Is included in Cash Flow from Operating Activities:
1. Royalties, Fees, Commission
2. Purchase of Debentures
3.Purchase of Machinery
4.issue of Shares
How will you treat payment of ‘Interest of Debentures’ while preparing a Cash Flow Statement ?
1. Cash Flow from Operating Activities
2.Cash Flow from Investing Activities
3.Cash Flow from Financing Activities
4.Cash Equivalents
In cash flow statement, the item of ‘Interest’ is shown in:
1. Operating Activities
2. Investing Activities
3.Financial Activities
4. In both (d) & (c)
Income tax refund is a cash of:
1. Source
2.Application
3.Both (a) & (b)
4.None of these
Interest received by a finance company is classified under which kind of activity while preparing a Cash Flow Statement ?
1.Cash Flow from Operating Activities
2. Investing Activities
3.Financing Activities
4.Cash Equivalent
Where will you show purchase of goodwill in Cash Flow Statement:
1.Cash Flow from Operating Activities
2.Cash Flow from Investing Activities
3.Cash Flow from Financing Activities
4. Cash Equivalent
Which activity comes under ‘Operating Activities’ ?
1. Purchase of Land
2. Issue of Debentures
3.Proceeds from Issuance of Equity Shares
4.Cash Sales
Which of the following is not a Cash in Flow ?
1.Sale of Fixed Asset
2.Purchase of Fixed Asset
3. Issue of Debentures
4.Sale of Goods for Cash
Which of the following is not a cash inflow ?
1.Decrease in Debtors
2.Issue of Debentures
3.Decrease in Creditors
4.None of these
Which of the following is not a Cash Outflow:
1. Increase in Creditors
2. Increase in Debtors
3.Increase in Stock
4. Increase in prepaid expenses
Which of the following item is considered as cash equivalents:
1.Bank Overdraft
2. Bills Receivable
3.Debtors
4.Short-term Investment
Which of the following item is not considered as cash equivalents ?
1.Bank Overdraft
2.Commercial Papers
3. Treasury Bills
4. Investment
Which one of following is not a non-cash item ?
1.Cash Sales
2. Goodwill written off
3.Depreciation
4.Provision of Bad Debts