Cash Received from the Issuance of Notes Payable Is A(n)________

question 133

Multiple Choice

Cash received from the issuance of notes payable is a(n) ________ activity on the statement of cash flows.

• A) non-cash investing and financing
• B) financing
• C) operating
• D) investing

Learn how to record transactions in a standard costing system accurately.

Gain the ability to compute variances between actual costs and standard costs, including direct materials, direct labor, and fixed overhead variances.

Understand how to apply fixed overhead to Work in Process (WIP) inventory using the predetermined overhead rate.

Know how to prepare and analyze an income statement for manufacturing companies using standard costing.

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Definitions:

Sales Adjusted

The revision of sales figures to account for returns, allowances for damaged goods, and discounts given.

Cash Basis

An accounting method where transactions are recorded when cash is received or paid, without regard to when the transactions occurred.

Selling and Administrative Expense

Costs incurred by a company from its selling activities and the management of the overall company, excluding production costs.

Cash Basis

A bookkeeping approach that only recognizes earnings and outgoings at the time cash is exchanged.