Which of the following is not a source of funds for immediate liquidity purposes? Question 9Answer a. Excess cash above regulatory reserve requirements. b. Funds borrowed on the money market. c. Proceeds from an IPO. d. Sale of liquid assets such as T-bills.
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- Question: 5. Liquidity Balance sheet figures cash (need interpretation) • Cash balance• Overdraft and borrowings • Current liabilitiesWhich of the following is not a source of funds for immediate liquidity purposes? a. Proceeds from an IPO. b. Sale of liquid assets such as T-bills. c. Funds borrowed on the money market. d. Excess cash above regulatory reserve requirements5. How will you treat Bank Overdraft in a Cash Flow Statement? (A) Cash Flow from Operating Activities' (B) Cash Flow from Investing Activities {C) Cash Equivalent (D) Cash Flow from Financing Activities.
- Asset management includes:A. using money market instruments to cover liquidityB. using cash reserves to cover liquidityC. borrowing fed funds to cover liquidityD. a and b1. This is a financial asset that is usually in the form of a negotiable instrument that holds monetary value and it can be converted into cash through established market or over-the-counter. a. Short-term receivables b. Long-term assets O c. Cash equivalents d. Financial security e. None of the aboveWhich of the following statements is incorrect? Cash fund that is being held specifically for the retirement of long-term debts not maturing currently should be excluded form current assets and shown as a noncurrent investment Cash and cash equivalents is always presented as the first line item in the statement of financial position Investments that can be liquidated at once and with little risk of loss of principal may be classified as cash equivalent and included in the caption "Cash and Cash equivalents" Cash that is restricted and not available for use within one year from the end of reporting period should be included in noncurrent assets
- 41 . Which of the following would not be a cash flow from financing activities? Multiple Choice Borrowing on a long-term note payable Payment of interest on bonds payable Repayment of principal on bonds payable Payment of a cash dividendWhich of the following statements is incorrect regarding the investing activities section of the statement of cash flows? Multiple Choice Investing activities deal with long-term liabilities (debt) and equity accounts. Increases in long-term asset balances suggest cash outflows to purchase assets. Decreases in long-term asset balances suggest cash inflows from selling assets. Investing activities involve cash purchases and cash disposals of long-term assets. XOn the statement of cash flows, which of the following items is classified as a financingactivity?a. Borrowing cash by signing a long-term noteb. Purchasing investments with cashc. Acquiring long-term assets with cashd. Loaning money with a short-term note receivable
- Which of the following represents a source of cash in the investing section?A. sale of investmentsB. depreciation expenseC. decrease in accounts receivableD. decrease in bonds payableA source of cash from financing activities is: Group of answer choices A)Proceeds from a loan. b)Collection of an account receivable. c)Cash received from the sale of treasury stock. D)Both the first and third answers above. E)None of the aboveIn preparing a cash flow statement which of the following is a cash inflow? A. Issue of DebenturesB. Redemption of DebenturesC. Increase in trade ReceivablesD. Decrease in trade payable