ch of the following is used in computing cash payments for merchandise using the direct method? a.Net income b.An increase in accounts receivable c.An increase in accounts payable d.A decrease in accounts receivable

Q: Which of the following entries records the receipt of cash from clients on account? a.Accounts…

A: Journal Entry: Journal entry is the act of keeping records of transactions in an accounting journal.…

Q: source

A: Decrease in accounts payable: When the current liabilities of the company decreases, it means that…

Q: The estimated cash receipts include total receipts from sales on account, interest revenue less…

A: Cash flows can be defined as the cash receipts and cash payments of a business from its operating,…

Q: What is the normal balance of cash? Group of answer choices This is an ambiguous question debit…

A: Cash is a legal tender that can be used easily to buy something. It is the most liquid asset in the…

Q: 1. The statement of cash flows classifies cash receipts and cash payments into two categories:…

A: Cash flow statement is a statement showing the inflow and outflow of cash in an organization. It is…

Q: These are the selected anaswer provide to select accordingly towards the cash statement: decrease…

A: the cash flow statement is prepared under with the recording of the three activity name the…

Q: Both the direct and indirect methods of operating activities report which of the following items? O…

A: A cash flow statement tracks the inflow and outflow of cash over a specific period, showing how a…

Q: Select the item below which would be reported in the Operating Section of the Cash Flow Statement…

A: Cash flow statement is a financial statement that examines a company's cash inflows and outflows in…

Q: When using the Indirect Method of preparing the Statement of Cash Flows, in the operating section,…

A: Under  indirect method , it is one of two accounting treatments used to generate a cash flow…

Q: The accounting treatment of a transfer fees by a bank is: a. An interest income b. An interest…

A: Introduction: Interest: Interest is the amount charged on the principle amount. Interest is…

Q: Which of the following should be deducted from net income in computing net cash flows from operating…

A: Introduction: Statement of cash flows: All cash in and out transactions in an accounting period is…

Q: Distinguish between cash discounts and trade discounts for purchases. Is the amount of a trade…

A: Discounts are given to attract customers and increase sales revenue. Discounts can be given as cash…

Q: The time period, which elapses between the point at which cash is spent on the production of a…

A: The firm generally gets cash from own resources or from outside as a debt. The cash is used for the…

Q: The beginning balance of the cash and cash equivalents will be deducted from the increase or…

A: The cash flow statement is prepared to record the cash flow from various activities during the…

Q: The items and activities commonly associated with the purchases and cash disbursements cycle can be…

A: Purchases means all type of goods, services or assets of the business that it needs for its…

Q: Which function of money allows individuals to make payment now in return for goods and services? A.…

A: Medium of exchange : Money serves as a medium of exchange. Money facilitates exchange of goods…

Q: What Is The Difference Between Merchandise Purchased For Cash And Merchandise Purchased On Account?

A: INTRODUCTION: The word "merchandise" is used to describe any items bought with the intention of…

Q: The time between the acquisition of inventory and the collection of cash from receivables is called…

A: Options given are:Cash cycleOperating cycleAccounts receivable periodInventory period

Q: Q-2: What is Gross Invoice Method and Net Invoice method? Record the transactional entries for the…

A: Net sales are the total goods sold by the firm during the year to generate profit. It includes sale…

Q: The statement of cash flows explains the difference between the beginning and ending balances of…

A: Introduction: The net amount of cash received and disbursed by an entity over a given period of time…

Q: Which of the following is used in computing cash received from customers using the direct method?…

A: Statement of cash flows: It is a financial statement that shows the increase or decrease in the cash…

Q: The cash cycle consists of which of the following periods? a. Inventory holding period and accounts…

A: The cash cycle is a critical indicator of a company's liquidity and efficiency in managing its…

Q: Impact of Transactions Involving Receivables on Statement of Cash Flows From the following list,…

A: A cash flow statement is the statement prepared to understand the flow of cash in different…

Q: Which of the following would not be reported on the financial statement?

A: All transaction that are reported in books of accounts need to be reported in financial statements.…

Q: Which of the following adjustments would NOT be made to net income when computing cash from…

A: Introduction: Statement of cash flows: All cash in and out transactions are recorded in statement of…

Q: when does a company declare a cash devidends

A: Dividends are the considerations which are paid out of the profits by the entity for the amount…

Q: When reporting cash on the balance sheet, companies: O A. combine cash and cash equivalents. O B.…

A: Companies make analysis of cash inflows and outflows in the cash flow statement

Q: Which of the following is not an operating activity shown on the Statement of Cash Flows? Cash…

A: Cash Flow statement is prepared to analyze the Cash Inflow  and Outflow Activities.

Q: (Appendix) When preparing a schedule for the calculation of cash generated from operating activities…

A: Format of Cash generated from Operating activities Particulars Amount Cash flows from operating…

Q: Define restricted cash and indicate how it should bereported on the balance sheet

A: Balance sheet: Balance Sheet is one of the financial statements that summarize the assets, the…

Q: Explain why cash outflows during the period for purchasesand salaries are not specifically reported…

A: Cash flow statements are the statements that determine the inflow and outflow of cash from three…

Q: Which of the following balance sheet items are commonly associated with the purchases and cash…

A: The balance sheet is one of the financial statements of a company, that is, prepared at the end of…

Q: Which of the following is not disclosed in the financial statements?  A. Trade discount received B.…

A: Financial statements are formal records of the financial activities and position of a business,…

Q: Discuss the conversion from cash basis to accrual basis of a decrease in accounts/notes receivables…

A: Decrease in accounts receivable will be deducted from income . This means revenue relating to…

Q: If the balance in Cash Short and Over at the end of a period is a credit, it should be reported as…

A: The income statement is the statement in which all the revenue and expenses concerning operations…

Q: Which of the following is most likely to appear in the operating section of a cash fl ow statement…

A: Cash flows statements are financial statements which provides information about the cash inflows…