1. The statement of cash flows tells us__

2. Which of the following would be found in a cash budget?

3. Which of the following items would have to be included for a company preparing a schedule of cash receipts and disbursements for the calendar year 2019?

4. Net profit + Non-cash expenditure

5. Consider the following statements:
(1) Depreciation reduces tax liability, hence it is a source of funds.
(2) Decrease in current liabilities during the year results in an increase in working capital.
(3) The term cash equivalents include short-term marketable investments.
(4) Conversion of debentures into equity shares appears in the fund’s flow statement.
(5) Only non-cash expenses are added to net profit to find out funds from operation. ’
Select the incorrect statements from the options given below:

6. Which of the following is not true about a cash budget?

7. While preparing the cash budget, which of the following items would not be included

8. Advantages of maintaining cash budgets would not include one of the following:

9. The cash Budget statement shows the position of the business as one of the business period.

10. A cash budget is like an income statement.

11. A cash budget for the six months ended 30th September 2020 shows an anticipated overdraft of approximately t 9,05,500. Which of the following would reduce the expected overdraft?

12. Collection float is the

13. Cash flow is –

14. Which of the following would NOT lead to an increase in net cash flow?

15. Which of the following statements most accurately describes the modern approach to cash management?

16. The annual cash requirement of A Ltd. is ₹ 10,00,000. The company has marketable securities in lot size of ₹ 1,00,000. The cost of conversion of marketable securities per lot is ₹ 1,000. The company can earn a 5% annual yield on its securities. Calculate the total cost.

17. The optimal balance of marketable securities held to take care of probable deficiencies in the firm’s cash account is referred to as the segment in the firm’s portfolio of short-term marketable securities.

18. Working capital will not change if there is:

19. The term cash includes

20. NSZ Ltd. cash budget forewarns of a short-term surplus. Which of the following would be the appropriate action to be taken in such a situation?

21. Which of the following will NOT appear in a Cash Budget?

22. Cash management is a broad term used for collecting and managing cash. The speculative motive of holding cash refers to –

23. Companies hold the cash from time to time. Transaction motive of holding cash means

24. Which of the following is least likely to be considered short-term marketable security?

25. Which one of the following is false?