During the Year, Penso Ltd Received $50 000 from Its

question 4

Multiple Choice

During the year, Penso Ltd received $50 000 from its customers, $5 000 for the sale of a motor vehicle and $20 000 for the issue of shares. It paid $27 000 to suppliers and employees, $3 000 for income tax and $50 000 for new machinery. Its cash balance at the commencement of the year was $30 000. What were the cash flows from operating activities?

• A) $25 000
• B) $23 000
• C) $20 000
• D) None of the above

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Definitions:

Direct Approach

A straightforward method of communication or problem-solving that involves dealing with issues openly and explicitly.

Positive Messages

Communications that convey good news, affirmative updates, or positive feedback, often used to build morale or reinforce good behavior.

Neutral To Receptive

The process of changing an audience's attitude from indifferent or uninterested to positive and open-minded.

Benefits Of Complying

Advantages or positive outcomes resulting from adhering to rules, regulations, or guidelines.