Carlisle Communications Is Preparing Its Statement of Cash Flows

question 197

Multiple Choice

Carlisle Communications is preparing its statement of cash flows.Among other things,this statement will show:

• A)net income from operations after taxes.
• B)general expenses and operating expenses.
• C)cash inflows and cash outflows that resulted from financing activities.
• D)the total owners' equity for the firm.

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Definitions:

Materials Quantity Variance

The difference between the actual quantity of materials used in production and the standard quantity expected to be used.

Direct Materials Purchases Variance

The difference between the actual cost of direct materials purchased and the expected cost, based on standards set for quantity and price.

Actual Operations

The real-world activities carried out by a company, as opposed to planned or projected operations.

Materials Quantity Variance

The difference between the actual amount of materials used in production and the standard amount expected to be used, multiplied by the standard cost of the materials.