Cash Flow Statement MCQ

31. State whether cash deposited in bank will be classified under which kind of activity?
(A) Cash Flow from Operating Activities
(B) Cash Flow from Investing Activities
(C) Cash Flow from Financing Activities
(D) No Cash Flow

Answer: D

32. Mention the net amount of ‘Source’ or ‘Use’ of cash when a fixed asset having book value of ₹15,000 is sold at a loss of ₹5,000.
(A) Use ₹5,000
(B) Source ₹10,000
(C) Use ₹15,000
(D) Source ₹15,000

Answer: B

33. Dividend paid by a Trading company is classified under which kind of activity while preparing cash flow statement?
(A) Cash Flow from Operating Activities
(B) Cash Flow from Investing Activities
(C) Cash Flow from Financing Activities
(D) No Cash Flow

Answer: C

34. A company receives a dividend of ₹2 Lakhs on its investment in other company’s shares. In case of a Finance Company, it will be classified under which kind of activity?
(A) Cash Flow from Operating Activities
(B) Cash Flow from Investing Activities
(C) Cash Flow from Financing Activities
(D) No Cash Flow

Answer: A

35. How will you classify loans given by Tata Finance Company?
(A) Cash Flow from Operating Activities
(B) Cash Flow from Investing Activities
(C) Cash Flow from Financing Activities
(D) No Cash Flow

Answer: A

Also Read :-

1. Marketing Management MCQs
2.  Digital Business Management MCQs
3.  Cost Accounting MCQs
4.  Join Our Telegram Channel

36. How will you classify deposits by customers in Axis Bank?
(A) Cash Flow from Operating Activities
(B) Cash Flow from Investing Activities
(C) Cash Flow from Financing Activities
(D) No Cash Flow

Answer: A

37. A Mutual Fund Company receives a dividend of ₹20 Lakhs on its investments in another company’s shares. Where will it appear in a Cash Flow Statement?
(A) Cash Flow from Operating Activities
(B) Cash Flow from Investing Activities
(C) Cash Flow from Financing Activities
(D) No Cash Flow

Answer: A

38. Dividend paid by a finance company is classified under which kind of activity while preparing cash flow statement?
(A) Cash Flow from Operating Activities
(B) Cash Flow from Investing Activities
(C) Cash Flow from Financing Activities
(D) No Cash Flow

Answer: C

39. Dividend paid by a manufacturing company is classified under which kind of activity while preparing cash flow statement?
(A) Cash Flow from Operating Activities
(B) Cash Flow from Investing Activities
(C) Cash Flow from Financing Activities
(D) No Cash Flow

Answer: C

40. Interest paid by an investment company will come under which kind of activity while preparing cash flow statement?
(A) Cash Flow from Operating Activities
(B) Cash Flow from Investing Activities
(C) Cash Flow from Financing Activities
(D) No Cash Flow

Answer: A

Also Read :-

1. Marketing Management MCQs
2.  Digital Business Management MCQs
3.  Cost Accounting MCQs
4.  Join Our Telegram Channel