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Free T7 Exam Braindumps

A statement of cash flows provides information on which of the following primary business activities of a company?

  1. Cash inflows, cash outflows, payment of dividends
  2. Operating activities, cash inflows, cash outflows
  3. Cash sales, investing activities, payment of dividends
  4. Operating, investing, and financing activities

Answer(s): D



When an employee has provided service in exchange for benefits to be paid in the future, what is it considered in accounting terms?

  1. The employee value proposition
  2. A long term benefit
  3. A noncurrent expense
  4. A liability

Answer(s): D



Current assets comprise assets that can be converted to cash. They must be converted within what time period?

  1. Before the end of the fiscal year
  2. Within a year
  3. Within a fiscal year
  4. Within two years

Answer(s): B



Identify the characteristic being employed when companies in the same industry are using the same accounting principles.

  1. Comparability
  2. Relevance
  3. Faithful representation
  4. Verifiability

Answer(s): A






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