The Forfeited Shares Account Is Used to Make Up Any

question 41

Multiple Choice

The forfeited shares account is used to make up any shortfall:

• A) to the forfeiting shareholder.
• B) the forfeited share reserve.
• C) on the issue of the shares.
• D) on the cash at bank account .

Understand the direct and indirect methods for calculating cash flows from operating activities.

Analyze changes in balance sheet accounts to determine their impact on cash flows.

Distinguish between cash flows from operating activities and other adjustments.

Recognize the effect of accounts receivable, inventory, and accounts payable changes on cash flow.