Start learning →

CA Final Ind AS 7 Statement of Cash Flows — practice questions — page 3

Explore 72 free Ind AS 7 Statement of Cash Flows questions in CA Final Financialreporting. Open each question or exercise to read its content, reference answers and available explanation.

Practise Ind AS 7 Statement of Cash Flows with Quill →

Ind AS 7 Statement of Cash Flows questions and exercises with answers

Showing questions 61–72 of 72.

The stated objective of Ind AS 7 concerns information about:Read the answer and worked solution →Historical cash flow information is often used as an indicator of:Read the answer and worked solution →Profit on the income statement can coexist with insufficient:Read the answer and worked solution →The indirect method turns accrual net income into cash flow by:Read the answer and worked solution →An increase in a non-cash current asset is, in the indirect method:Read the answer and worked solution →PBT Rs 500 lakh after depreciation 80, finance cost 40, interest income 25. Operating profit before working capital?Read the answer and worked solution →Opening cash equivalents Rs 120; operating +300, investing -180, financing -50. Closing balance?Read the answer and worked solution →Plant with book value Rs 55 lakh sold for Rs 40 lakh cash. Investing inflow?Read the answer and worked solution →Cash share issue 200, debt converted 500, loan raised 100, repaid 60, dividend 40. Net financing?Read the answer and worked solution →All sales Rs 900 are on credit; receivables rose from 80 to 110. Cash collected from customers?Read the answer and worked solution →Cash 20, demand deposit 60, 2-month T-bill 30, 9-month FD 40, integral overdraft 25. Total?Read the answer and worked solution →A non-financial entity received dividend Rs 12 and interest Rs 8, paid dividend 30 and interest 18. Financing outflow?Read the answer and worked solution →

Worked practice questions

The stated objective of Ind AS 7 concerns information about:

  1. Historical changes in cash
  2. Forecast cash budgets
  3. Tax liability for the year
  4. Fair value changes
Show answer and solution

Correct answer: A. Historical changes in cash

The objective is to give information on historical changes in cash and cash equivalents.

Open this question →

Historical cash flow information is often used as an indicator of:

  1. Timing and certainty of future flows
  2. Compliance with listing norms
  3. Expected growth in market share
  4. Level of audit fee income
Show answer and solution

Correct answer: A. Timing and certainty of future flows

Past cash flows help users judge how much, when and how surely future cash will arrive.

Open this question →

Profit on the income statement can coexist with insufficient:

  1. Cash to operate
  2. Goodwill on books
  3. Reserves on books
  4. Share capital held
Show answer and solution

Correct answer: A. Cash to operate

Accrual profit includes uncollected sales and non-cash items, so a profitable firm can still run short of cash.

Open this question →

How to practise

  1. Choose a Ind AS 7 Statement of Cash Flows question and try to work out your answer.
  2. Open the question to check the correct answer and read its worked solution.
  3. Continue in the app for bite-sized lessons, explanations and review with Quill. You can start without creating an account.

More Financialreporting topics

Ind AS 116 LeasesInd AS 36 Impairment of Assets and Ind AS 38 Intangible AssetsInd AS 24 Related Party Disclosures and Ind AS 108 Operating SegmentsInd AS 1 Presentation of Financial StatementsInd AS 12 Income TaxesInd AS 113 Fair Value MeasurementInd AS 109 Financial InstrumentsInd AS 23 Borrowing Costs and Ind AS 40 Investment Property