Cash flows resulting from a company's normal earnings process are reported on the statement of cash...
Cash flows resulting from a company's normal earnings process are reported on the statement of cash flows in the:
A) financing activities section
B) investing activities section
C) operating activities section
D) noncash investing and financing activities section
AND
Which of the following activities is not correctly associated with its cash flow classification?
A) Operating – Sale of merchandise for cash
B) Financing - Sale of company’s Preferred Stock
C) Investing – Purchase of Treasury Stock
D) Operating – Purchase of advertising for the year
Homework Answers
| 1 | |||||||||||||
| Cash flows resulting from a company's normal earnings process are reported on the statement of cash flows in the operating activities section | |||||||||||||
| 2 | |||||||||||||
| Investing – Purchase of Treasury Stock is not correctly associated with its cash flow classification | |||||||||||||
| Purchase of Treasury Stock is a Financing activity | |||||||||||||
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