Question
13 Using the information below, the net cash flow from operating activities is: Cash received from customers $213 000 Cash paid for salaries and other
13 Using the information below, the net cash flow from operating activities is:
Cash received from customers | $213 000 |
Cash paid for salaries and other expenses | 185 000 |
Cash received from the sale of equipment | 12 000 |
Gain on the sale of equipment | 8 000 |
inflow of $20 000.
inflow of $12 000.
inflow of $28 000.
inflow of $8 000.
14 Which of the following would assist an entity wanting to improve their cash flow?
Selling surplus inventory.
Investing surplus cash.
Utilising the available credit terms when paying suppliers.
All of the options listed would assist in improving cash flow.
15 From the information below, the total net cash flow from investing activities is:
Borrowed $15 000 cash
Sold motor vehicle $1400
Paid Income tax $20 000
Paid Dividends $8500
Received cash from customers $18 000
Cash purchase of furniture $2700
Depreciation on furniture $270
an inflow of $1400.
an outflow of $2700.
an inflow of $6500.
an outflow of $1300.
16 Which of the following statements is true?
For an entity to survive, the net cash flow from operating activities should be negative.
For an entity to survive, the net cash flow from investing activities should be positive.
For an entity to survive, the net cash flow from financing activities should be positive.
For an entity to survive, the net cash flow from operating activities should be positive.
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