Table 196
Production and
Consumption Production
Without Trade with Trade

question 103

Multiple Choice

Table 19.6
Production and
Consumption Production
Without Trade with Trade
$$\begin{array} { | l | l | l | l| l | } \hline & \text { Clerks } & \text { Hats } & \text { Clerks } & \text { Hats } \\\hline \text { Denmark } & 900 & 150 & 1200 & 0 \\\hline \text { Belize } & 150 & 100 & 0 & 400 \\\hline\end{array}$$ Denmark and Belize can produce both clocks and hats. Table 19.6 shows the production and consumption quantities without trade, and the production numbers with trade.
-Refer to Table 19.6.If the actual terms of trade are 1 hat for 1.8 clocks and 150 hats are traded,how many hats will Belize consume?

• A) 100
• B) 130
• C) 250
• D) 400

Identify transactions classified under investing and financing activities.

Comprehend the implications of cash flow information for financial analysis.

Understand adjustments made under the indirect method of cash flows from operating activities.

Understand the components of the statement of cash flows, including cash flows from operating, investing, and financing activities.

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