Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

6) If cash flows from operating activities is a positive amount, then: A) The company must have paid off more debts than it earned during

image text in transcribed
6) If cash flows from operating activities is a positive amount, then: A) The company must have paid off more debts than it earned during the year B) The company may still have a decrease in the total amount of cash for the period. c) The company must have had a net profit for the year. D) The amount will be shown on the statement of cash flows in parentheses 7) Which of the following best defines an asset? A) Something with physical form that is valued at cost in the accounting records B) An economic resource representing cash or the right to receive cash in the near future. C) Something owned by a business that has a ready market value. D]An economic resource owned by a business and expected to benefit future operations. 8) If during the current year, liabilities of Hayden Travel decreased by $50,000 and owners' equity increased by $75,000, then: A) Assets at the end of the year total $25.000. B) Assets decreased during the year by S125,000. C) Assets increased during the year by $25,000. D) Assets at the end of the year total $125,000. The following information applies to the questions displayed below./ Astoria Co. had the following transactions during the month of August 2018: (1) Cash received from bank loans was $20,000. (2) Dividends of $9,500 were paid to stockholders in cash. (3) Revenues earned and received in cash amounted to $33,500. (4) Expenses incurred and paid were $26,000. 9) 9) At the beginning of August, 2018, owners' equity in Astoria was $160,000. Given the transactions of August, what will be the owners' equity be at the end of the month? A) $167,500. B) $158,000. C) $193,500. D) $150,500. 10) The term revenue can best be described as: A) The "bottom line" in the income statement. B) The cash received from selling goods and serving customers during a given accounting period. C) The net increase in owners' equity during a given period. Dy The selling price of goods and services rendered to customers during a given accounting period

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Principles Of Islamic Accounting

Authors: Nabil Baydoun, Maliah Sulaiman, Roger J. Willett, Shahul Ibrahim

1st Edition

1119023297, 9781119023296

More Books

Students also viewed these Accounting questions

Question

What factors affect occupational accidents?

Answered: 1 week ago