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Which of the following would not be included in the operating activities section of a statement of cash flows? Cash inflows from returns on loans (i
Which of the following would not be included in the operating activities section of a statement of cash flows?
-
- Cash inflows from returns on loans (i.e., interest)
- Cash inflows from returns on equity securities (i.e., dividends)
- Cash outflows to governments for taxes
- Cash outflows to reacquire treasury stock
Expert Solution
Answer: d . Cash outflows to reacquire treasury stock
Issuances of stock or bonds by a company are not counted as operating activities. operating activities includes the following, accounts receivable inventory , supplies , prepaid insurance ,accounts payable ,wages payable, income taxes payable , unearned revenues
Reference;
https://corporatefinanceinstitute.com/resources/knowledge/accounting/operating-cash-flow/
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