If $350,000 of Bonds Are Issued During the Year but $140,000

question 172

Multiple Choice

If $350,000 of bonds are issued during the year but $140,000 of old bonds are retired during the year, the statement of cash flows will show a(n)

• A) net increase in cash of $210,000.
• B) net decrease in cash of $210,000.
• C) increase in cash of $350,000 and a decrease in cash of $140,000.
• D) net gain on retirement of bonds of $210,000.

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Definitions:

Fluid Intelligence

The ability to think abstractly, reason quickly, and solve problems in novel situations without relying on accumulated knowledge.

Reasoning

The process of forming conclusions, judgments, or inferences from facts or premises through logical thinking.

Mechanical Functions

Refers to the operations performed by machinery, involving the application of mechanical principles and engineering design.

Cohort Effects

Also called history-graded events, they are events that provide a context for development and also influence it directly. The year of your birth marks your entry into a cohort of peers who accompany you through age-graded developmental changes within the context of a specific set of historical events.