Which of the following represent cash outflows from financing activities?
A)Distributing a stock dividend.
B)Paying a bond's face value at maturity.
C)Issuing long-term bonds at a discount.
D)Paying interest on promissory notes.

Question

Quizplus · Accepted Answer

Paying a bond's face value at maturity is a cash outflow from financing activities.Stock dividends do not require the use of cash and,as such,are noncash financing activities.The cash received from the issuance of long-term bonds is a cash inflow (rather than an outflow)from financing activities.The payment of interest is a cash outflow from operating (rather than financing)activities.

Which of the Following Represent Cash Outflows from Financing Activities