Which of the Following Is NOT Correct Regarding the Reporting

question 75

Multiple Choice

Which of the following is NOT correct regarding the reporting of cash?

• A)Cash is reported in both the balance sheet and the statement of cash flows.
• B)Cash flows from buying and selling investments and long-term productive assets are called operating cash flows.
• C)Cash flows from transactions with stockholders and creditors are called financing cash flows.

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Definitions:

Moving Averages

A technique used in technical analysis that smooths out price data by creating a constantly updated average price over a specific period of time.

Market Price

The market price is the current price at which an asset or service can be bought or sold in a marketplace, subject to the forces of supply and demand.

Mental Accounting

Individuals mentally segregate assets into independent accounts rather than viewing them as part of a unified portfolio.

High Cash Dividends

Refers to companies that payout a large portion of their earnings to shareholders in the form of dividends, usually signifying stable income.