All Classifications on the Balance Sheet Have a General Relationship

question 32

Multiple Choice

All classifications on the Balance Sheet have a general relationship with sections identified on the Statement of Cash Flows.Indicate which relationships are correctly identified in the table below.
$$\begin{array} { | c | c | c | } \hline \# & \begin{array} { c } \text { Classification on the Balance } \\\text { Sheet }\end{array} & \begin{array} { c } \text { Section on Statement of Cash } \\\text { Flows }\end{array} \\\hline \text { I } & \text { Bonds Payable } & \text { Financing } \\\hline \text { II } & \text { Equipment } & \text { Operating } \\\hline \text { III } & \text { Common Stock } & \text { Financing } \\\hline \text { IV } & \text { Accounts Payable } & \text { Operating } \\\hline \text { V } & \text { Accounts Receivable } & \text { Operating } \\\hline\end{array}$$

• A)IV,V.
• B)I,II,III.
• C)I,III,IV,V.
• D)All five are correct.

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