Homework Answers
Answer -
D) Collection of interest revenue on a long-term note.
Explanation:
Collection of interest revenue on a long-term note would not be a cash flow from investing activities.
Investing activities are obtaining and selling of an organization's long-term investments. For example property, plant and equipment, investment in subsidiaries or associates not included in cash equivalents.
Therefore,
Purchase of long term investments, Sale of patent (lasts more than 12 months, it is a long term assets), Collection of principal from a long term note receivable all are investing activities.
And
Collection or payment of interest on a long term note is an operating activity not an investing activity.
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Cash Flow from Operating Activities
Cash Flow from Investing Activities
Cash Flow from Financing Activities
Net
Increase in Cash
Beginning
Cash Balance
Ending Cash
Balance
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Which of the following would appear in the investing
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