Which One of the Following Is a Correct Basic Structure

question 73

Multiple Choice

Which one of the following is a correct basic structure of the cash flow statement?

• A) Cash flows provided (used) by operating activities + / - cash flows provided (used) by business activities + / - cash flows provided (used) by financing activities = net increase (decrease) in cash
• B) Cash flows provided (used) by operating activities + / - cash flows provided (used) by investing activities + / - cash flows provided (used) by business activities = net increase (decrease) in cash
• C) Cash flows provided (used) by operating activities + / - cash flows provided (used) by financing activities + / - net change in working capital = net increase (decrease) in cash
• D) Cash flows provided (used) by operating activities + / - cash flows provided (used) by investing activities + / - cash flows provided (used) by financing activities = net increase (decrease) in cash

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Definitions:

Constructive Trust

A trust inferred by the courts to benefit a third party to a contract.

Misrepresentation Remedies

Legal solutions available to someone who has suffered loss due to false statements, including rescission of contract or damages.

Modern Business

Contemporary commercial activities characterized by innovations, digital processes, and new operational models.

Assignment

The transfer of rights or property from one party to another, often used in reference to contracts or leases.