Study Guide for Test #1

Study Guide for Test #1 - Cash Flow from Operating...

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Cash Flow from Operating Activities NET INCOME + Depreciation + Decreases in Non-cash Current Assets + Increases in Current Liabilities + Losses on Disposals of long-term assets - Increases in Non-cash current assets - Decreases in Current liabilities - Gains on disposals of long-term assets = Cash Flow from Operating Activities Ex: Increase in AR – (decrease in $) Increase in inventory – (decrease in $) Decrease in prepaid expenses – (increase in $) Increase in AP – (increase in $) Decrease in accrued liabilities – (decrease in $) Increase in deferred income taxes – (increase in $) Cash Flow from Investing Activities + Sale of investments & plant assets Ex: Additions to long-term investments – (decrease in $) Proceeds from sale of land – (increase in $) Proceeds from sale of long-term investments – (increase in $) Cash Flow from Financing Activities + Increase in Mortgage Payable + Increase in Bonds Payable
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This test prep was uploaded on 04/19/2008 for the course ACCT 209 taught by Professor Lusher during the Fall '07 term at Slippery Rock.

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Study Guide for Test #1 - Cash Flow from Operating...

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