cash flow classification quiz

Quiz 43: Cash Flow Classification Quiz

Test your knowledge of double entry bookkeeping with our cash flow classification quiz.

Using the indirect method for preparing a cash flow statement, cash flows can be classified as either operating, financing or investing. Accordingly this quiz tests if you know how to classify each cash flow.

Not Ready for the Cash Flow Classification Quiz

If you need a refresher course on this topic take a look at our basic cash flow statement tutorial.

Start the Cash Flow Classification Quiz

Click on an answer to reveal whether its Right! or Wrong

1. Identify the cash flow classification for the following item: Payment of electricity expenses?
Wrong
Right!
Wrong
2. Identify the cash flow classification for the following item: Bonds payable are issued?
Right!
Wrong
Wrong

 

3. Identify the classification for the following cash flow: Disposal of office equipment?
Wrong
Right!
Wrong
4. Identify the cash flow classification for the following item: Sales are made for cash?
Wrong
Wrong
Right!
5. Identify the classification for the following cash flow: Investments are purchased?
Wrong
Wrong
Right!
6. Identify the cash flow classification for the following item: Accounts receivable are collected?
Right!
Wrong
Wrong
7. Identify the cash flow classification for the following item: Accounts payable are paid?
Wrong
Right!
Wrong
8. Identify the classification for the following cash flow: Machinery is purchased?
Right!
Wrong
Wrong
9. Identify the cash flow classification for the following item: Dividends are paid?
Right!
Wrong
Wrong
10. Identify the classification for the following cash flow: Shares in the business are issued for cash?
Wrong
Wrong
Right!

Try Another Double Entry Bookkeeping Quiz

The cash flow classification quiz is one of many of our online quizzes to test your knowledge of double entry bookkeeping in business. Additionally discover another at the links below.

Last modified March 21st, 2023 by Michael Brown

About the Author

Chartered accountant Michael Brown is the founder and CEO of Double Entry Bookkeeping. He has worked as an accountant and consultant for more than 25 years and has built financial models for all types of industries. He has been the CFO or controller of both small and medium sized companies and has run small businesses of his own. He has been a manager and an auditor with Deloitte, a big 4 accountancy firm, and holds a degree from Loughborough University.

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