Practice Components Of Cash Flow Statement (3) - Cash Flow - ICSE 12 Accounts

Practice: Components of Cash Flow Statement

Lesson 3Cash Flow

Practise this section

8 questions

Flashcard drill
2 cards from this section. Quick, good the night before a test.
Exercise
6 questions · about 4 min · pass mark 70%. Hints available.
Sign up to start the exercise
Quiz
2 questions · about 1 min · pass mark 70%. Hints available.
Sign up to start the quiz

6 sample questions

Question 1.
What are the three main components of the Cash Flow Statement?
Show hintHide hint
Think about the business activities.
Question 2.
Define Operating Activities.
Show hintHide hint
Consider what businesses do to make money.
3Question 3.
What are the three activities classified in a Cash Flow Statement?
- Operating, Investing, Financing
- Generating, Expenses, Equity
- Income, Assets, Liabilities
Show hintHide hint
Recall the fundamental activities of cash flow.
4Question 4.
True or False: The Direct Method is commonly used for calculating cash flow from operating activities.
- True
- False
Show hintHide hint
Think about which method is mentioned more frequently.
Question 5.
You have a business with a net profit of $200,000, depreciation of $30,000, an increase in accounts receivable of $15,000, a decrease in accounts payable of $10,000, and taxes paid of $40,000. Calculate the Net Cash Flow from Operating Activities.
Show hintHide hint
Don’t forget to adjust for all the components mentioned.
Question 6.
If a company's financing cash flow shows significant inflows and outflows consistently over several periods, what could this indicate about its financial strategies?
Show hintHide hint
Think about financing strategies companies employ.

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