Table of contents

1. Introduction to Accounting1h 21m
2. Transaction Analysis1h 13m
3. Accrual Accounting Concepts2h 38m
4. Merchandising Operations2h 30m
5. Inventory1h 55m
6. Internal Controls and Reporting Cash1h 16m
7. Receivables and Investments3h 8m
8. Long Lived Assets5h 1m
9. Current Liabilities2h 19m
10. Time Value of Money1h 23m
- Time Value of Money Equations
  35m
- Using Time Value of Money Tables
  47m
11. Long Term Liabilities2h 45m
12. Stockholders' Equity2h 15m
13. Statement of Cash Flows2h 24m
14. Financial Statement Analysis5h 25m
15. GAAP vs IFRS56m

1. Introduction to Accounting

Types of Accounting

Financial Accounting

1. Introduction to Accounting

Types of Accounting

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Struggling with Financial Accounting?

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Multiple Choice

Which one of the following is a cash flow from a corporation into the financial markets?

Borrowing cash from a bank

Receipt of cash from selling goods

Payment of dividends to shareholders

Receipt of cash from issuing bonds

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Verified step by step guidance

Step 1: Understand the concept of cash flow in financial accounting. Cash flow refers to the movement of money into or out of a business, project, or financial product. It can be categorized as operating, investing, or financing activities.

Step 2: Identify the type of cash flow described in the problem. The question asks for a cash flow from a corporation into the financial markets, which typically falls under financing activities.

Step 3: Analyze each option provided: - Borrowing cash from a bank: This is a cash inflow into the corporation, not into the financial markets. - Receipt of cash from selling goods: This is an operating activity and does not involve financial markets. - Payment of dividends to shareholders: This is a cash outflow from the corporation into the financial markets, as dividends are distributed to shareholders. - Receipt of cash from issuing bonds: This is a cash inflow into the corporation from the financial markets.

Step 4: Focus on the correct answer, 'Payment of dividends to shareholders.' This represents a cash flow from the corporation into the financial markets because dividends are paid out to shareholders, who are part of the financial markets.

Step 5: Conclude that understanding the classification of cash flows (operating, investing, and financing) and their direction (inflow or outflow) is essential to solving such problems effectively.