15. Your company uses the indirect method for presenting its statement of cash flown, but you want to know specifically how much cash yo How would you calculate the cash paid for rent this period, if you are gi and ending balances in cash and prepaid rent, and the amount of rent expense this period? ur company paid to its landlord for rent. ven the beginning A) add the decrease in the cash account B) add the increase in prepaid rent to the rent expense. C) subtract the increase in prepaid rent from the rent expense D) add the decrease in the cash account to the rent expense. thte ehf enerease in prepaid rent. 16. A company issues additional shares of its stock for cash. Which of the following accurately describes the direct effect of this transaction on the company's ratios? Deb No effect Increase Decrease No effect No effect Increase Decrease Decrease Increase C) Increase The total change in cash as shown near the bottom of the statement of cash flows for the year should agree with which of the following? 17. A) The difference in retained earnings when reviewing the comparative balance sheet. B) Net income as found on the income statement. C) The difference in cash when reviewing the comparative balance sheet. D) The difference between cash provided by financing activities and cash used in investing activities. : 18. Assume Right Manufacturing Co. recorded the following adjusting entry at year-end dr Insurance expense $2,000 cr Prepaid insurance $2,000 If the beginning balance in prepaid insurance was $500 and $2,500 was paid for an insurance premium during the year, and no other entries were recorded affecting the prepaid insurance account, the ending balance in the prepaid insurance account (afterth above adjusting entry) would be A) S 700 debit. B) $1,000 debit. C) $2,200 debit. D) None of the above is correct