Cash Flow Statements (Grade 12 NSC Matric Accounting): Quizzes
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Practise the questions
10 questions from this quiz
What gap does the cash flow statement fill that income statements and balance sheets don't show?
What gap does the cash flow statement fill that income statements and balance sheets don't show?
Where cash comes from & where it goes
How are cash inflows shown in a cash flow statement?
How are cash inflows shown in a cash flow statement?
Without brackets
For a healthy company, which section is typically the most common source of cash?
For a healthy company, which section is typically the most common source of cash?
Operating activities
What do investing activities in a cash flow statement focus on?
What do investing activities in a cash flow statement focus on?
Buying & selling of fixed assets
Which of these is a cash inflow in the financing activities section?
Which of these is a cash inflow in the financing activities section?
Issuing new shares
Why is depreciation added back when converting profit to cash generated from operations?
Why is depreciation added back when converting profit to cash generated from operations?
It reduces profit but involves no cash
What effect does an increase in inventory have on cash flow?
What effect does an increase in inventory have on cash flow?
Cash outflow (more stock purchased)
How does an increase in creditors affect cash flow?
How does an increase in creditors affect cash flow?
Cash inflow (paid creditors less)
What does a growing company usually show in its investing activities section?
What does a growing company usually show in its investing activities section?
Net cash outflows
What must the net change in cash equal to verify the cash flow statement is correct?
What must the net change in cash equal to verify the cash flow statement is correct?
Difference in opening & closing balances