Question

Identify the transactions as belonging to(i ) Operating Activities, (i) investing Activities, (iii) Financing Activities and (v) Cash and Cash Equivalents:
(a) Cash Sale of Goods.
(b) Cash Received against Revenue from Services rendered
(C ) Cash Purchase of Goods
(d) Cash Paid against Services Taken
(e ) Patents Purchased
(f) Marketable Securities
(g) Bank Overdraft
(h) Proceeds from Issue of Debentures
(i) Purchase of Shares
(j) Repayment of Long-term Loan
(k) Commission Received
(l) Redemption of Debentures
(m ) Interet on Debenture
(n) interest on Investments
(o) Icome Tax Paid
(p) Income Tax Paid on Gain of Sale of Asset
(q) Cash Received from Debtors
(r) Cash Paid to Creditors.

Answer 1

Correct Answer - Operating Activities :(a),(b),(c),(d),(k),(o),(q),(r); Investing Activities (e),(i),(n) ,(p) ; financing Activities : (g),(h),(j),(I),(m); Cash and Cash Equivalents : (f).