Quiz #1 1500 Summer 2011 Solution Version B

Quiz #1 1500 Summer 2011 Solution Version B - 1. A company...

Info iconThis preview shows pages 1–2. Sign up to view the full content.

View Full Document Right Arrow Icon
1. A company that has reported a net income will normally have a cash flow from operations that is __________. a) higher than the net income because of amortization b) the same as net income as amortization is not a cash flow c) lower than net income because of amortization d) either (a) or (b), but never (c) e) (a), (b) or (c) 2. Digman Co. had retained earnings of $400,000 and $50,000 in cash on January 1 st . It made a net income of $300,000 in the year. Amortization expense was $250,000. Cash from operations was __________. a) $ 50,000 b) $250,000 c) $300,000 d) $550,000 e) $350,000 3. Digman Co. had retained earnings of $400,000 and $50,000 in cash on January 1 st . It made a net income of $300,000 in the year. Amortization expense was $250,000. Digman Co. issued additional common shares for $500,000 and borrowed $600,000 from the Bank of Toyland. Cash from financing activities was __________. a)
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 2
This is the end of the preview. Sign up to access the rest of the document.

This note was uploaded on 08/29/2011 for the course ADMS 1500 taught by Professor Multani during the Spring '10 term at York University.

Page1 / 2

Quiz #1 1500 Summer 2011 Solution Version B - 1. A company...

This preview shows document pages 1 - 2. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online