PRINCIPLES OF ACCOUNTING II
EXAM 2 QUETSIONS AND CORRECT
ANSWERS 100% VERIFIED GRADE A+
LATEST UPDATED 2026\2027!!
SourcesGofGinformationGtoGprepareGaGstatementGofGcashGflowsG-GCORRECTGANSWER-
1.GComparativeGBalanceGSheet
2.GCurrentGIncomeGStatement
3.GAdditionalGInformation
StatementGofGCashGFlowsGformatGandGpresentationG-GCORRECTGANSWER-
CashGflowsGfromGoperatingGactivitiesG
G -(ListGofGindividualGitems)G
G --NetGcashGprovidedG(used)GbyGoperatingGactivitiesG
CashGflowsGfromGinvestingGactivitiesG
G -(ListGofGindividualGinflowsGandGoutflows)G
G --NetGcashGprovidedG(used)GbyGinvestingGactivitiesG
CashGflowsGfromGfinancingGactivitiesG
G -(ListGofGindividualGinflowsGandGoutflows)G
G --NetGcashGprovidedG(used)GbyGfinancingGactivitiesG
NetGincreaseG(decrease)GinGcashG
CashGatGbeginningGofGperiodG
CashGatGendGofGperiodG
NoncashGinvestingGandGfinancingGactivitiesG
G -(ListGofGindividualGnoncashGtransactions)
OperatingGActivitiesG-GCORRECTGANSWER-
CashGflowGactivityGthatGincludeGtheGcashGeffectsGofGtransactionsGthatGcreateGrevenuesGandGexpensesGandG
thusGenterGintoGtheGdeterminationGofGnetGincome.
, OperatingGActivitiesG2G-GCORRECTGANSWER-IncreaseGCAG-Gdeduct
DecreaseGCAG-Gadd
IncreaseGCLG-Gadd
DecreaseGCLG-Gdeduct
OperatingGActivitiesG3G-GCORRECTGANSWER-DepreciationGExpenseG+
AmortizationGExpenseG+
(nonGcashGexpensesGthatGmustGbeGaddedGback)
LossGonGDisposalGofGLandG+
GainGonGDisposalGofGPlantGAssetsG-
IncreaseGinGCurrentGAssetGAccountG-
DecreasesGinGCurrentGAssetGAccountG+
IncreaseGinGCurrentGLiabilityGAccountG+
DecreaseGinGCurrentGLiabilityGAccountG-
InvestingGActivitiesG-GCORRECTGANSWER-ChangesGinGinvestmentsGandGlong-termGassets
CashGflowGactivityGthatGincludesG(a)GacquiringGandGdisposingGofGinvestmentsGandGproperty,Gplant,GandGeq
uipment,GandG(b)GlendingGmoneyGandGcollectingGtheGloans.
FinancingGActivitiesG-GCORRECTGANSWER-ChangesGinGlong-termGliabilitiesGandGstockholders'Gequity
CashGflowGactivityGthatGincludeG(a)GobtainingGcashGfromGissuingGdebtGandGrepayingGtheGamountsGborrowe
dGandG(b)GobtainingGcashGfromGstockholders,GrepurchasingGshares,GandGpayingGdividends.
WhichGactivityGisGmostGimportantGandGwhy?G-GCORRECTGANSWER-
OperatingGactivitiesGbecauseGtheyGhelpGusGunderstandGtheGlong-termGsuccessGofGtheGcompany.
EXAM 2 QUETSIONS AND CORRECT
ANSWERS 100% VERIFIED GRADE A+
LATEST UPDATED 2026\2027!!
SourcesGofGinformationGtoGprepareGaGstatementGofGcashGflowsG-GCORRECTGANSWER-
1.GComparativeGBalanceGSheet
2.GCurrentGIncomeGStatement
3.GAdditionalGInformation
StatementGofGCashGFlowsGformatGandGpresentationG-GCORRECTGANSWER-
CashGflowsGfromGoperatingGactivitiesG
G -(ListGofGindividualGitems)G
G --NetGcashGprovidedG(used)GbyGoperatingGactivitiesG
CashGflowsGfromGinvestingGactivitiesG
G -(ListGofGindividualGinflowsGandGoutflows)G
G --NetGcashGprovidedG(used)GbyGinvestingGactivitiesG
CashGflowsGfromGfinancingGactivitiesG
G -(ListGofGindividualGinflowsGandGoutflows)G
G --NetGcashGprovidedG(used)GbyGfinancingGactivitiesG
NetGincreaseG(decrease)GinGcashG
CashGatGbeginningGofGperiodG
CashGatGendGofGperiodG
NoncashGinvestingGandGfinancingGactivitiesG
G -(ListGofGindividualGnoncashGtransactions)
OperatingGActivitiesG-GCORRECTGANSWER-
CashGflowGactivityGthatGincludeGtheGcashGeffectsGofGtransactionsGthatGcreateGrevenuesGandGexpensesGandG
thusGenterGintoGtheGdeterminationGofGnetGincome.
, OperatingGActivitiesG2G-GCORRECTGANSWER-IncreaseGCAG-Gdeduct
DecreaseGCAG-Gadd
IncreaseGCLG-Gadd
DecreaseGCLG-Gdeduct
OperatingGActivitiesG3G-GCORRECTGANSWER-DepreciationGExpenseG+
AmortizationGExpenseG+
(nonGcashGexpensesGthatGmustGbeGaddedGback)
LossGonGDisposalGofGLandG+
GainGonGDisposalGofGPlantGAssetsG-
IncreaseGinGCurrentGAssetGAccountG-
DecreasesGinGCurrentGAssetGAccountG+
IncreaseGinGCurrentGLiabilityGAccountG+
DecreaseGinGCurrentGLiabilityGAccountG-
InvestingGActivitiesG-GCORRECTGANSWER-ChangesGinGinvestmentsGandGlong-termGassets
CashGflowGactivityGthatGincludesG(a)GacquiringGandGdisposingGofGinvestmentsGandGproperty,Gplant,GandGeq
uipment,GandG(b)GlendingGmoneyGandGcollectingGtheGloans.
FinancingGActivitiesG-GCORRECTGANSWER-ChangesGinGlong-termGliabilitiesGandGstockholders'Gequity
CashGflowGactivityGthatGincludeG(a)GobtainingGcashGfromGissuingGdebtGandGrepayingGtheGamountsGborrowe
dGandG(b)GobtainingGcashGfromGstockholders,GrepurchasingGshares,GandGpayingGdividends.
WhichGactivityGisGmostGimportantGandGwhy?G-GCORRECTGANSWER-
OperatingGactivitiesGbecauseGtheyGhelpGusGunderstandGtheGlong-termGsuccessGofGtheGcompany.
