1) Long-term investments cannot include:

Group of answer choices

Held-to-maturity debt securities.

Equity securities giving an investor significant influence over an investee.

Securities with maturity dates within one operating cycle.

Available-for-sale debt securities.

Available-for-sale equity securities.

2)

Which one of the following is not one of the major purposes of the statement of cash flows?

Group of answer choices

It provides information about the companys ability to pay dividends.

It provides information about the firm's ability to meet its obligations.

It provides information about the companys ability to generate cash flows.

It provides information about the firm's resources and claims against those resources.

3)

To what is the current market value of bonds equal when determining their issue price?

Group of answer choices

The difference between the face value of the bonds and the contractual interest rate

The cash that will be paid to the investor when the bonds mature

The sum of the future interest payments, plus the principal payment when the bonds mature

The present value of the bonds future cash flows