In Preparing a Statement of Cash Flows, a Conversion of Bonds

question 87

Multiple Choice

In preparing a statement of cash flows, a conversion of bonds into common stock will be reported in

• A)the financing section.
• B)the "extraordinary" section.
• C)a separate schedule or note to the financial statements.
• D)the stockholders' equity section.

---

Definitions:

Rorschach Inkblot Test

A psychological test involving the interpretation of inkblots to analyze a person's emotional state and personality characteristics.

Behaviorism

A psychological approach that emphasizes the study of observable behaviors and the effects of learning and environment.

Gestalt Psychology

A theory of mind and behavior that proposes the human brain perceives things as whole patterns and configurations, rather than merely as the sum of their parts.

Psychoanalysis

A set of psychological theories and therapeutic techniques related to the study of the unconscious mind, founded by Sigmund Freud.