1.) The shareholders that are eligible to vote for the board of directors of a company are:

Select one:

a. all shareholders holding more than 1,000 shares.

b. all shareholders who attend the annual general meeting.

c. all shareholders holding voting shares.

d. all preference shareholders.

2.) The item that would not be included in the operating section of a statement of cash flows is:

Select one:

a. Cash interest received.

b. Cash received from the sale of surplus machinery.

c. Cash received from sales.

d. Cash payment of expenses.

3.)Which of these items will appear in a statement of cash flows?

Select one:

a. Carrying value of an asset sold.

b. Adjustment in the balance of an asset account caused by a revaluation.

c. Proceeds from the sale of a fixed asset.

d. All of the above.

4.) If a company issues 25,000 ordinary shares which are sold at $4 per share, the effect on the accounting equation is:

Select one:

a. increase cash $100,000; decrease in shareholders' equity $80,000.

b. increase cash $100,000; increase in liabilities $80,000.

c. increase cash $100,000; increase in shareholders' equity $100,000.

d. none of the above.

5.) With what are operating activities concerned?

Select one:

a. borrowing or lending.

b. the sale or disposal of non-current assets.

c. the trading and/or service operations of the business.

d. none of the above.

6.) Which of the following is not included in an audit report?

Select one:

a. An audit opinion on whether or not the financial statements are 'true and fair.'

b. Identification of the financial reports audited.

c. A statement that the financial reports were prepared in accordance with accounting standards.

d. A statement on the sustainable strategies of the reporting entity.

Answer rating: 100% (QA)

1 b all shareholders who attend the annual general meeting Shareholders Annual General Meeting AGM This is the annual AGM that is compulsory for every company to hold Private companies they can do awa... View the full answer