The Tea Act (1773)

question 62

Multiple Choice

The Tea Act (1773)

• A)attempted to save the British East India Company from financial disaster.
• B)removed the tax on colonists' tea.
• C)increased the price of colonists' tea.
• D)placed a high new tax on the colonists' tea.
• E)was endorsed by the American tea sellers.

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Definitions:

Plant Assets

Long-term tangible assets used in the production of goods and services, such as buildings, machinery, and equipment.

Cash Flows

The net amount of cash and cash equivalents being transferred into and out of a business.

Operating Activities

Activities that relate to the primary operations of the company, including cash flows from selling goods and services.

Indirect Method

A way of presenting the cash flow statement where net income is adjusted for changes in balance sheet items to calculate cash flow from operating activities.