When can I take the CPA ExamThe CPA Exam is offered four times each year: January 1 – March 10, April 1 – June 10, July 1 – September 10 and October 1 – December 10.
The statement of cash flow reports are used for the following: (I)Investing activities(I) Financing activities(I)I Operating activities(I) Supplemental activities Mark one answer:
(A)I (B)II (C)III (D)I, II, and III (E)I, II, III, and IV
Correct Answer: E
In the current year, Fitz, a single taxpayer, sustained a $48,000 loss on Code Sec. 1244 stock in JJJ Corp., a qualifying small business corporation, and a $20,000 loss on Code Sec. 1244 stock in MMM Corp., another qualifying small business corporation. What is the maximum amount of loss that Fitz can deduct for the current year?
(A)$50,000 capital loss (B)$68,000 capital loss (C)$18,000 ordinary loss and $50,000 capital loss (D)$50,000 ordinary loss and $18,000 capital loss
Correct Answer: D
If equipment is used by a corporation in its operations and is sold at a loss, under which section on the statement of cash flows is this reported? Mark one answer:
(A)Operating (B)Investing (C)Financing (D)Supplemental (E)It is not reported on the statement of cash flows.
Correct Answer: A
More CPA Exam Questions
- 1Larry, who uses the accrual basis of accounting, hired an extra driver to help him make deliveries in December. The extra driver only works from December 1st through the 31st . Larry pays the driver on January 5th, but the expense is shown on the December income statement. Why? Mark one answer:
- 2A tax return preparer may disclose or use tax return information without the taxpayer’s consent to
- 3Three key words used to describe the ethical responsibilities of accountants are:
- 4What are the number of shares Jet should use to calculate Year 1 earnings per share?
- 5Common stock has a _____ balance and is a/an _____ to the Corporation.