Get Advice on Live Video Call
Earn $ Cash $ with
consultations on Bissoy App

A project which have one series of cash inflows and results in one or more cash outflows is classified as

Correct Answer: normal cash flows
A project which have one series of cash inflows and results in one or more cash outflows is classified as normal cash flows. Normal cash flow is the cash flow stream that comprises of initial investment outlay and then positive net cash flow throughout the project life. It is also called conventional cash flow stream.

Arrange the following categories of cash inflows and cash outflows in a correct order.
1. Cash flows from investing activities.
2. Cash flows from financing activities.
3. Cash flows from operating activities.

Project's expected monetary loss or gain by discounting all cash outflows and inflows, using required rate of return is classified as

The present value of cash inflows is $60, 000 and present value of the cash outflows is $ 50, 000 then NPV is?

Which of the following are examples of cash flow from operating activities as per AS-7?
1. Cash receipts from the sale of goods and the rendering of services.
2. Cash receipts from disposal of intangible assets.
3. Cash receipts from royalties, fees, commissions and other revenue.
4. Cash payments to suppliers for goods and services.
5. Cash proceeds from issuing shares or other similar instruments.
6. Cash payments to and on behalf of employees.
Select the correct answer:

Which one of the following equates the present value of cash out flows and the present value of expected cash inflows from a project?

Which of the following activities should be shown separately in the cash flow statement prepared as per Accounting Standard-3?
1. Cash flow from borrowing activities
2. Cash flow from operating activities
3. Cash flow from financing activities
4. Cash flow from investing activities
5. Cash flow from miscellaneous activitie

Which of the following activities should be shown separately in the cash flow statement prepared as per accounting standard-3?
I. Cash flow from borrowing activities.
II. Cash flow from operating activities.
III. Cash flow from financing activities.
IV. Cash flow from investing activities.
V. Cash flow from miscellaneous activities.

Cash outflows are costs of project and are represented by

A can complete a project in 20 days and B can complete the same project in 30 days. A and B start working on the project together and A quits 10 days before the project is expected to be completed. How many days in total will the project take to complete ?

Which one of the following methods of capital budgeting assumes that cash inflows are reinvested at the project's rate of return?