Practice Cash Flow From Financing Activities (3.3) - Cash Flow - ICSE 12 Accounts
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Cash Flow from Financing Activities

Practice - Cash Flow from Financing Activities

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Practice Questions

Test your understanding with targeted questions

Question 1 Easy

Define cash flow from financing activities.

💡 Hint: Think about how companies manage their capital.

Question 2 Easy

What is an example of an inflow in financing activities?

💡 Hint: Consider how companies raise capital.

4 more questions available

Interactive Quizzes

Quick quizzes to reinforce your learning

Question 1

Which of the following is considered a cash inflow from financing activities?

Loan repayment
Interest paid
Issuing shares

💡 Hint: Think about what actions bring money into the business.

Question 2

True or False: Paying dividends counts as an outflow in financing activities.

True
False

💡 Hint: Consider how companies reward shareholders.

1 more question available

Challenge Problems

Push your limits with advanced challenges

Challenge 1 Hard

Company Y issued shares worth ₹500,000, repaid ₹200,000 on its loan, and paid ₹50,000 in dividends. What is the net cash flow from financing activities?

💡 Hint: Calculate the total inflows versus outflows.

Challenge 2 Hard

Discuss the impact of excessive reliance on debt financing on a company’s cash flow sustainability.

💡 Hint: Think of risk vs. return in backing a company.

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