Below Is an Example of an Incorrectly Prepared Statement of Cash

question 44

Multiple Choice

Below is an example of an incorrectly prepared statement of cash flows. The descriptions of activities are correct. $\begin{array}{l}\text { Cash from operating activities }\\\begin{array}{lr}\text { Net income } & \$ 60,000 \\\text { Depreciation } & (4,000) \\\text { Increase in accounts receivable } & (2,000) \\\text { Increase in deferred tax liability } & (1,000) \\&\$53,000\\\\ \text { Cash from investing activities } &\\ \text { Purchase of marketable securities} &(\$48,000) \\ \text {Dividends paid } &(\$46,5000) \\\\\text { Cash from financing activities } & \\\text { Increase in short-term debt } & \$(500) \\\text { Increase in long-term debt } & (2,500) \\& \$(3,000) \\\text { Increase in cash } & \$ 3,500\end{array}\end{array}$
-The correct cash flows from financing activities is:

• A)($4,500).
• B)$3,000.
• C)$1,000.
• D)None of the above

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Definitions:

Ejaculation

Reflexive expulsion of semen from the penis.

Prostatic Urethra

Part of the male urethra, approximately 2.5 cm in length, that passes through the prostate gland.

Semen

Penile ejaculate; thick, yellowish white, viscous fluid containing spermatozoa and secretions of the testes, seminal vesicles, prostate, and bulbourethral glands.

Emission

Discharge; accumulation of semen in the urethra prior to ejaculation. A nocturnal emission is a discharge of semen while asleep.