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Need some help on this homework. There is 1 question and 2 problems. Thanks There is one question and two problems. Total assignment is worth
Need some help on this homework. There is 1 question and 2 problems. Thanks
There is one question and two problems. Total assignment is worth 14 points. Question 1. What is the reporting purpose of the statement of cash flows? Identify at least two questions that this statement can answer. P1. The statement of cash flows is one of the four primary financial statements. 1. Describe the content and layout of a statement of cash flows, including the name of the three sections. 2. List at least three transactions or information that would be classified as operating activities in a statement of cash flows assuming the company uses the indirect method to prepare the section of the statement. 3. List at least three transactions classified as investing activities in a statement of cash flows. 4. List at least three transactions classified as financing activities in a statement of cash flows. P2. The following transactions and events occurred during the year. Assuming that this company uses the indirect method to report cash provided by operating activities, indicate where each item would appear on its statement of cash flows by placing an \"X\" in the appropriate column. There should only be one X for each question. Statement of Cash Flows Operatin g Activities a. Declared and paid a cash dividend b. Recorded depreciation expense c. Paid cash to settle long-term note payable d. Prepaid expenses increased in the year as a result of company paying cash for expenses in advance e. Accounts receivable decreased due to cash received. f. Purchased land by issuing common stock g. Used cash to purchase inventory h. Sold equipment for cash. i. Accounts payable decreased in the year as the company used cash to pay off AP. Investing Activities Financing Activities Noncash Investing & Financing ActivitiesStep by Step Solution
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