Upon review of Bert's statement of cash flows, the following was noted: Cash flows from operating activities $ 60,000 Cash flows from investing activities (125,000) Cash flows from financing activities 115,000 From this information, the most likely explanation is that Bert is
A) using cash from operations and selling long-term assets to pay back debt.
B) using cash from operations and borrowing to purchase long-term assets.
C) using its profits to expand growth.
D) using cash from investors to provide for operations.
B
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An example of a source document would be
a. a trial balance; b. cash; c. an invoice; d. a general journal; e. a general ledger
Assuming a current ratio of 1.2 and an acid-test ratio of 0.80, how will the purchase of inventory with cash affect each ratio?
A. Increase the current ratio and increase the acid-test ratio. B. Decrease the current ratio and increase the acid-test ratio. C. No change to the current ratio and decrease the acid-test ratio. D. Decrease the current ratio and decrease the acid-test ratio.
Widespread use of instruments of credit appeared as international trade began to flourish in the wake of the Crusades
Indicate whether the statement is true or false
A _____________ ____________ fund is used to pay relatively small expenditures.
Fill in the blank(s) with the appropriate word(s).