1. Accounts receivable from sales transactions were $49,710 at the beginning of the year and $62,191 at the end of the year. Net income reported on the income statement for the year was $128,036. Exclusive of the effect of other adjustments, the cash flows from operating activities to be reported on the statement of cash flows prepared by the indirect method is

Select the correct answer.

$140,517

$128,036

$115,555

$12,481

2. Cash dividends of $75,974 were declared during the year. Cash dividends payable were $11,246 and $16,541 at the beginning and end of the year, respectively. Determine the amount of cash for the payment of dividends during the year.

Select the correct answer.

$75,974

$64,728

$70,679

$92,515

3. The net income reported on the income statement for the current year was $284,011. Depreciation recorded on fixed assets and amortization of patents for the year were $35,619 and $11,137, respectively. Balances of current asset and current liability accounts at the end and at the beginning of the year are as follows:

	End	Beginning
Cash	$48,791	$54,537
Accounts receivable	$103,761	$120,165
Inventories	$87,209	$109,394
Prepaid expenses	$6,730	$2,715
Accounts payable (merchandise creditors)	$65,131	$57,724

What is the amount of cash flows from operating activities reported on the statement of cash flows prepared by the indirect method?

Select the correct answer.

$369,356

$325,126

$372,748

$293,184

4. An investor purchased 541 shares of common stock, $26.00 par, for $46.00. Subsequently, 92 shares were sold for $65.00 per share. What is the amount of gain or loss on the sale (round to two decimal points)?

Select the correct answer.

$1,748.00 loss

$1,748.00 gain

$21,099.00 gain

$21,099.00 loss

5. Purchased $400,000 of ABC Co. 5% bonds at 100 plus accrued interest of $4,500. Sold $250,000 of bonds at 97. The journal entry for the purchase would include:

a. a credit to Interest Revenue for $4,500.

b. a debit to Interest Receivable for $4,500.

c. a credit to Interest Receivable for $4,500.

d. a debit to Interest Revenue for $4,500

6. The current period statement of cash flows includes the flowing:

Cash balance at the beginning of the period	$411,722
Cash provided by operating activities	$164,043
Cash used in investing activities	$57,127
Cash used in financing activities	$81,302

Find the cash balance at the end of the period.

$714,194

$437,336

$109,250

-$138,429

7. The net income reported on the income statement for the current year was $293,348. Depreciation recorded on fixed assets and amortization of patents for the year were $36,769 and $9,123, respectively. Balances of current asset and current liability accounts at the end and at the beginning of the year are as follows:

	End	Beginning
Cash	$46,806	$56,881
Accounts receivable	$120,684	$101,721
Inventories	$107,165	$92,019
Prepaid expenses	$3,793	$6,221
Accounts payable (merchandise creditors)	$46,618	$66,310

What is the amount of cash flows from operating activities reported on the statement of cash flows prepared by the indirect method?

Select the correct answer.

$365,177

$305,131

$287,867

$279,901