Practice Cash Flow From Financing Activities (3.3) - Cash Flow

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9 questions

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2 cards from this section. Quick, good the night before a test.
Exercise
6 questions · about 4 min · pass mark 70%. Hints available.
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Quiz
3 questions · about 2 min · pass mark 70%. Hints available.
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6 sample questions

Question 1.
Define cash flow from financing activities.
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Think about how companies manage their capital.
Question 2.
What is an example of an inflow in financing activities?
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Consider how companies raise capital.
3Question 3.
Which of the following is considered a cash inflow from financing activities?
- Loan repayment
- Interest paid
- Issuing shares
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Think about what actions bring money into the business.
4Question 4.
True or False: Paying dividends counts as an outflow in financing activities.
- True
- False
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Consider how companies reward shareholders.
Question 5.
Company Y issued shares worth ₹500,000, repaid ₹200,000 on its loan, and paid ₹50,000 in dividends. What is the net cash flow from financing activities?
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Calculate the total inflows versus outflows.
Question 6.
Discuss the impact of excessive reliance on debt financing on a company’s cash flow sustainability.
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Think of risk vs. return in backing a company.

5 more questions in this section. Enroll free to practise them all.