If a company purchases land with its common stock, and no cash changes hands, where would this activity be presented on the statement of cash flows?

Group of answer choices

The financing section of the statement of cash flows.

The investing section of the statement of cash flows.

The operating section of the statement of cash flows.

A note below the statement of cash flows.

None of the answer choices is correct.

Question 7

Where would cash payments for insurance appear in the statement of cash flows?

Group of answer choices

Operating activities section.

Financing activities section.

Investing activities section.

Capital activities section.

None of the answer choices is correct.

Question 8

Significant noncash financing and investing activities are reported in:

Group of answer choices

a note below the statement of cash flows.

the investing activities section of the statement of cash flows.

the financing activities section of the statement of cash flows.

the operating activities section of the statement of cash flows.

None of the answer choices is correct.

Question 9

The capital expenditure ratio is calculated as:

Group of answer choices

Cash provided by operating activities divided by capital expenditures.

Cash provided by operating activities plus capital expenditures.

Cash provided by operating activities divided by current liabilities.

Capital expenditures divided by cash provided by operating activities.

None of the answer choices is correct.

Question 10

The operating cash flow ratio measures:

Group of answer choices

the company's ability to generate enough cash from daily operations to cover capital expenditures.

the company's ability to generate enough cash from daily operations to cover long-term liabilities.

the company's ability to generate enough cash from daily operations to cover current liabilities.

the company's ability to generate enough cash from financing operations to cover current liabilities.

None of the answer choices is correct.