A 8 On the statement of cash flows, depreciation is: a added to net income to determine net cash flow from operations b deducted from net income to determine net cash flow from operations C ignored d shown as a financing activity 9 Last year accounts payable had a balance of $3,400. This year the ending balance is $5.000. The effect on cash flows would be: a increase cash from operations by $5,000 b increase cash from operations by $1,600 c decrease cash from operations by $5,000 d decrease cash from operations by $1,600 10 Inventory started with a balance of $10,000 and ended with a balance of $8,000. The income for the year was $50,000. Ignoring all other adjustments, the cash flow from operations should be: a _$50,000 b _$58,000 C $52,000 d _$48,000 11 Interest paid is shown as part of: a operating activity b investing activity c financing activity d non-cash activity 12 Which of the following is a financing activity a net income b sale of land issuing common stock depreciation 13 A decrease in accounts receivable would result in: a an increase in cash from operating activities 'b a decrease in cash from operating activities c in increase in cash from investing activities d a decrease in cash from investing activities 14 If a gain of $25,000 is reported on the income statement for selling equipment and the cost of the equipment was $100,000 the total amount reported in the investment section as "proceeds from sale of investments" would be: a $25,000 b $75,000 C $100,000 d $125,000