Question Details

Cash receipts from interest and dividends 



	1.	Investing activities include
a.	collecting cash on loans made.
b.	obtaining cash from creditors.
c.	obtaining capital from owners.
d.	repaying money previously borrowed.

	2.	Generally, the most important category on the statement of cash flows is cash flows from
a.	operating activities.
b.	investing activities.
c.	financing activities.
d.	significant non-cash activities.


	3.	The category that is generally considered to be the best measure of a company's ability to continue as a going concern is
a.	cash flows from operating activities.
b.	cash flows from investing activities.
c.	cash flows from financing activities.
d.	usually different from year to year.


	4.	Cash receipts from interest and dividends are classified as
a.	financing activities.
b.	investing activities.
c.	operating activities.
d.	either financing or investing activities.

	5.	Each of the following is an example of a significant noncash activity except
a.	conversion of bonds into ordinary shares.
b.	exchanges of plant assets.
c.	issuance of debt to purchase assets.
d.	share dividends.




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