Advertisements
Advertisements
प्रश्न
Under which type of activity will you classify ‘Proceeds from Sale of Building’ while preparing Cash Flow statement?
उत्तर
'Proceeds from Sale of Building' is classified as Investing Activity. This is because sale of building involves an inflow of cash relating to fixed assets.
APPEARS IN
संबंधित प्रश्न
'An enterprise may hold securities and loans for dealing or trading purposes in which case they are similar to inventory acquired specifically for resale.' Is the statement true? Cash flows from such activities will be classified under which type of activity while preparing 'Cash flow statement'.
Will 'Net decrease in working capital' other than cash and cash equivalents, increase, decrease or not change Cash Flow from Operating Activities? Give reason in support of your answer.
Which of the following transactions will result in 'Flow of Cash’?
(a) Deposited Rs 10,000 into the bank.
(b) Withdrew cash from bank Rs 14,500.
(c) Sale of the machinery of the book value of Rs 74,000 at a loss of Rs 9,000.
(d) Converted Rs 2,00,000 9% debentures into equity shares.
The accountant of Manav Ltd. while preparing Cash Flow Statement added depreciation provided on fixed assets to net profit for calculating cash flow from operating activities. Was he correct in doing so? Give reason.
Amongst the following, 'Payment of bonus to the employees' by an insurance company is which type of activity?
While preparing Cash Flow Statement, the accountant of 'Rachana Ltd.', a financing company, included 'Interest received on loan' in financing activities. Was the correct in doing so? Give reason.
The accountant of 'Nav Jeevan Limited' while preparing Cash Flow Statement added the proposed
dividend of the current year to net profit while calculating cash flow from operating activities. Was he correct in doing so? Give reason.
While preparing 'Cash Flow Statement', the accountant of 'Jain Limited', a financing company, showed dividend received on investments as investing activity. Was he correct in doing so? Give reason.
State the meaning of ‘Cash Flow’ while preparing Cash Flow Statement.
When does the flow of cash take place'?
Short term investments are not considered while preparing cash flow statement. Why?
State with reason whether the following transactions will increase, decrease or not change the 'Return on Investment':
(i) Purchase of machinery worth Rs 2,00,000 by issue of equity shares.
(ii) Charging depreciation of Rs 5,000 on machinery.
(iii) Redemption of debentures in cash Rs 70,000.
(iv) Converting Rs 50,000, 9% debentures into equity shares.
Long Answer Question
Describe"Indirect" method of ascertaining Cash Flow from Operating Activities.
"______ implies movement of cash in and out of non-cash items. Receipt of cash from a non-cash item is termed as cash inflow while cash payment in respect of such items as cash outflow"
Which one is Cash Outflows from operating activities?
Name the activities that is related to purchase and sale of long-term assets or fixed assets such as machinery, furniture, land and building, etc.?
Classify the following activity into operating activities, investing activities, financing activities or cash activities
"Purchase of machinery"
Expenses paid in advance at the end of the year are ______ in ______ activities while preparing the Cash Flow Statement.
Gain on sale of tangible current assets is a/an:
Which of the following transactions will not result in flow of cash:
