1. Which of the following events is not a transaction that would be recorded in a company's accounting records? 1 The purchase of equipment for cash. 2 The purchase of equipment on account. 3 The investment of additional cash in the business by the owner. 4 The death of a key executive. 2. Which of the following are considered "external users of financial statements? 1 Owners. 2 Creditors. 3 Labour unions. 4 All three are external users. 3. A strong statement of cash flows shows that significant cash is being generated by 1 operating activities. 2 Financing activities. 3 investing activities. 4 Effective tax planning. Use the following to answer questions 4-5: At December 31, 2015, the accounting records of Sklar Corporation contain the following items: Accounts payable R 16 000 Accounts receivable R 40 000 Land R 240 000 Cash R 120 000 Equity Shares Equipment R 190 000 Building R 180 000 Short term loans Retained Earnings R 160 000 4. Refer to the above data. (a) If Equity Shares is R260,000, the amount of Cash owned by Sklar Corporation at December 31, 2015, is 1 R86 000 2 R94 000 3 R 46 000 4 R 686 000 5. Refer to the above data. If Equity Shares is R320,000, total assets of Sklar Corporation at December 31, 2015, amount to: 1 R 686 000 2 R926 000 3 R 726 000 4 R 106 000