How will a company classify payments for inventory acquisitions on its statement of cash flows?
A)Cash provided from operations
B)Cash used in operations
C)Cash provided from investing activities
D)Cash used for investing activities

Question

Quizplus · Accepted Answer

Payments for inventory acquisitions are classified as cash used in operations because they are part of the company's day-to-day operational activities, reflecting the cash outflow necessary to purchase goods for sale.

How Will a Company Classify Payments for Inventory Acquisitions on Its