Which of the following would be classified as investing cash flows on a statement of cash flows?1. Acquiring a building by signing a long-term mortgage payable.2. Lending cash to others.3. Issuing stock for cash.4. Purchasing long-term assets for cash.5. Selling stock investments for cash.a. 1,4,5.    b. 1,2,4.   c. 1,3,5.   d. 2,4,5.

Asked Sep 22, 2019

Which of the following would be classified as investing cash flows on a statement of cash flows?

1. Acquiring a building by signing a long-term mortgage payable.

2. Lending cash to others.

3. Issuing stock for cash.

4. Purchasing long-term assets for cash.

5. Selling stock investments for cash.

a. 1,4,5.    b. 1,2,4.   c. 1,3,5.   d. 2,4,5.


Expert Answer

Step 1

A Cash Flow statement is a financial statement that represents the changes in the cash balances of a period caused due to various activities conducted by the business. A cash flow statement is divided into different activities like Operating activity...

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