8. GAAP requires held-to-maturity investments to be reported at their A Historical cost. C. Net realizable value. B. Fair value. D. Amortized cost. 9. Growth firms generally pay regular dividends to stockholders. A True. B. False. 10. In order to maintain a record of the original cost of a trading security, the finir value adjustments are debited or credited to the account Valuation Allowance for Investment A True. B. False. 11. The statement of cash flows is not one of the basic financial statements. A. True. B. False. 12. The statement of cash flows reports a company's sources of cash inflows and cash outflows for a period. A. True. B. False. 13. Which of the following would be classified as an operating activity on the statement of cash flows. A. Sales revenue. C. Depreciation expense. B. Income taxes expense. D. All of the above. 14. A ten-year bond was issued at face value for $500,000 cash. This transaction should be shown on the statement of cash flows under A. Operating activities. B. Investing activities. C. Financing activities. D. Both B and C above. 15. Which of the following types of transactions would be reported as a cash flow from investing activity on the statement of cash flows? A. Purchase of common stock. B. Issuance of bonds payable. C. Purchase of fixed assets. D. Both A and B above. 16. Cash flows from financing activities, as part of the statement of cash flows, include payment for dividends. A. True. B. False