Answer the following two questions based on the monthly cash flow

1) The business needs to increase its cash flow in:
2) In which month does this business have an overdraft in the bank?
3) In April your hotel receives $1,000 to reserve a room in June.
How would this appear on the May monthly cash flow statement?
How would this affect the May income statement?
4) In April your hotel receives $1,000 to reserve a room in June.
How would this appear on the June monthly cash flow statement?
How would this affect the June income statement?
5) Your restaurant outsources cleaning services at a monthly cost of $500.
Your contract starts on July 1, but you pay one month later.
How would this appear on the July monthly cash flow statement?
How would this affect the July income statement?
6) Below are presented the sales in dollars and covers, as well as the cost of sales for a restaurant.
7) If a restaurant has increasing net income and decreasing operating cash flow, as indicated by the data shown below -

then this means that:
a) The restaurant may be granting its customers credit terms that are too lenient
b) The restaurant may be paying on a cash basis for the goods and services it purchases
c) Both of the above
d) None of the above
8) If a restaurant's operating cash flow is increasingly negative its cash flow situation would be improved by doing which of the following? 

a) Collect accounts receivable faster by granting prompt payment discounts
b) Negotiate more extended credit terms with supplier
c) Borrow some funds
d) Sell more stock or otherwise obtain more investment by the owners
e) Sell some unused assets
f) All of the above
9) Based on the following sub-section of the operating cash flow section of the Cash Flow Statement select the correct answer from the list below.
Analysis of working capital accounts related to operations

a) The changes in these accounts indicate that this company's 'working capital related to operations is decreasing.
b) The changes in these accounts indicate that this company's 'working capital related to operations is increasing.
c) The above is insufficient information to determine whether or 'not this company's working capital is increasing or decreasing.
10) If you expect sales to decrease would you prefer that more of your expenses be variable or fixed?
a) Variable
b) Fixed
c) Neither answer makes sense

January February 1,100,000 Non-Operating Receipts 875,000 Non-Operating Expenditures 225,000 Net Non-Operating Cash Flow Net Total Cash flow Beginning Cash Balance Cumulative Cash Balances January February 100,000 500,000 900,000 200,000 (400,000) (100,000) Operating Receipts Operating Expenditures Net Operating Cash Flow 1,000,000 750,000 250,000 (150,000) 125,000 50,000 (100,000) 25,000 July ($5,025) ($12,350) August Net income $8,295 Operating cash flow ($18,470)