Flash had cash inflows from operations $62,500; cash outflows from investing activities of $47,000; and cash inflows from financing of $25,000. The net change in cash was:

Flash had cash inflows from operations $62,500; cash outflows from investing activities of $47,000; and cash inflows from financing of $25,000. The net change in cash was:

a. $40,500 increase.
b. $40,500 decrease.
c. $134,500 decrease.
d. $134,000 increase.
e. $9,500 increase.




Answer: A

A company borrows $125,000 from the Eastside Bank and receives the loan proceeds in cash. This represents a(n):

A company borrows $125,000 from the Eastside Bank and receives the loan proceeds in cash. This represents a(n):

a. Operating activity.
b. Investing activity.
c. Financing activity.
d. Revenue activity.
e. Expense activity.

Answer: C

A company acquires equipment for $75,000 cash. This represents a(n):

A company acquires equipment for $75,000 cash. This represents a(n):

a. Operating activity.
b. Investing activity.
c. Financing activity.
d. Revenue activity.
e. Expense activity.





Answer: B

A balance sheet lists:

A balance sheet lists:

a. The types and amounts of the revenues and expenses of a business.
b. Only the information about what happened to equity during a time period.
c. The types and amounts of assets, liabilities, and equity of a business as of a specific date.
d. The inflows and outflows of cash during the period.
e. The assets and liabilities of a company but not the owner's equity.

Answer: C

The financial statement that reports whether the business earned a profit and also lists the types and amounts of the revenues and expenses is called:

The financial statement that reports whether the business earned a profit and also lists the types and amounts of the revenues and expenses is called:

a. A Balance sheet.
b. A Statement of owner's equity.
c. A Statement of cash flows.
d. An Income statement.
e. A Statement of financial position.

Answer: D

If assets are $365,000 and equity is $120,000, then liabilities are:

If assets are $365,000 and equity is $120,000, then liabilities are:

a. $120,000.
b. $245,000.
c. $365,000.
d. $485,000.
e. $610,000.




Answer: B