True or False?

1. The choice of GAAP depreciation assumptions impacts cash through taxes paid. T/F

2. No gain or loss can be recorded when a company sells a fully depreciated fixed asset. T/F

3. Impairment of a finite life tangible or intangible asset will impact the future Income Statements. T/F

4. Define contribution retirement plans do not lead to long-term assets or liabilities on the firms Balance Sheet. T/F

5. The GAAP tax expense reported for the year is always greater than the taxes paid during the year. T/F

6. Outstanding shares of stock are authorized shares that have not yet been issued. T/F

7. The repurchase of common stock reduces the Net Income of the firm T/F

8. An acquisition of another firm, paid for in cash, is show in the Investing section of the Statement of Cash flows. T/F

9. Payment of interest on long-term debt is shown in the Financing section of the Statement of Cash Flows. T/F