Classifying Transactions For A Statement of Cash Flows
Not what you're looking for?
A new startup company often engages in the following transactions in its first year of operations. Classify these transactions in one of the three major categories of an organization's business activities.
A. Financing B. Investing C. Operating [.25 points each]
_____1. Owner's investment in the business
_____ 2. Purchasing a new server
______3. Selling used equipment.
______4. Borrowing cash from a bank.
______ 5. Performing services for customers.
______6. Collecting cash from customers.
______7. Renting warehouse space.
______8. Paying telephone bill.
Purchase this Solution
Solution Summary
Given a list of transactions, this solution discusses how to classify each and why that classification is appropriate.
Solution Preview
A 1. Owner's investment in the business
B 2. Purchasing a new server
B 3. Selling used equipment.
A 4. Borrowing cash from a bank.
C 5. Performing services for customers.
C 6. Collecting cash from ...
Purchase this Solution
Free BrainMass Quizzes
Production and cost theory
Understanding production and cost phenomena will permit firms to make wise decisions concerning output volume.
Marketing Management Philosophies Quiz
A test on how well a student understands the basic assumptions of marketers on buyers that will form a basis of their marketing strategies.
Basics of corporate finance
These questions will test you on your knowledge of finance.
IPOs
This Quiz is compiled of questions that pertain to IPOs (Initial Public Offerings)
Balance Sheet
The Fundamental Classified Balance Sheet. What to know to make it easy.