Statement of Cash Flows

Question 1

Statement of Cash Flows

Answer 1

Reports the amount of cash collected and paid out by a company in operating, investing and financing activities for a period of time

Question 2

Cash inflows

Answer 2

Sell goods, services or other assets
Borrowing
Receive cash from investments by owners

Question 3

Cash outflows

Answer 3

Pay operating expenses, expand operations
Repay loans
Pay owners a return on investment

Question 4

Operating Activities

Answer 4

Transactions and events that enter into the determination of net income

Question 5

Investing Activities

Answer 5

Transactions and events that involve the purchase and sale of securities, property, plant, equipment, and other assets not generally held for resale, AND the making and collecting of loans

Question 6

Financing Activities

Answer 6

Transactions and events whereby resources and obtained from, or repaid to, owners and creditors

Question 7

Operating inflow

Answer 7

Sale of goods or services
Sale of investments in trading securities
Interest revenue
Dividend revenue

Question 8

Operating outflow

Answer 8

Inventory payments
Interest payments
Wages
Utilities, rent 
Taxes

Question 9

Investing inflows

Answer 9

Sale of plant assets
Sale of securities, other than trading securities
Collection of principal on loans

Question 10

Investing outflows

Answer 10

Purchase of plant assets
Purchase of securities, other than trading securities
Making of loans to other entities

Question 11

Financing inflows

Answer 11

Issuance of own stock

Borrowing

Question 12

Financing outflows

Answer 12

Dividend payments
Repaying principal on borrowing
Treasury stock purchase