Clark Company Uses the Indirect Method to Prepare Its Statement

question 146

Multiple Choice

Clark Company uses the indirect method to prepare its statement of cash flows. Refer to the following information for the year 2015. Net cash provided by operating activities: $39,000
Net cash used for investing activities: $(25,000)
Net cash provided by financing activities: $1,200
How much was the net change in cash during the year?

• A)$(15,200)
• B)$37,800
• C)$15,200
• D)$(13,500)

Understand the principles of accounting specific to not-for-profit entities, including the recognition of revenues and expenses.

Comprehend the accounting treatment for contributions, pledges, and gifts in not-for-profit accounting, including conditions for recognition and disclosure.

Identify and classify the various types of financial statements and reports used by not-for-profit entities.

Recognize the process and criteria for accounting for non-cash contributions and donated services in not-for-profit entities.

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Definitions:

Tax Loopholes

Provisions in the tax law that allow individuals or corporations to reduce their tax liabilities through legal means, often seen as exploiting the tax system.

Rising Debt

The increasing amount of money that is owed by individuals, corporations, or governments.

Means Of Production

The resources and materials used to produce goods and services, including tools, machinery, and buildings.

Karl Marx

A 19th-century philosopher, economist, and revolutionary known for his theories about capitalism, class struggle, and the development of social systems.