In a statement of cash flows,payments to acquire debt instruments of other entities would typically be classified as cash outflows for
A) financing activities.
B) equity activities.
C) operating activities.
D) investing activities.

Question

Quizplus · Accepted Answer

Payments to acquire debt instruments of other entities are considered investing activities, as they involve the acquisition of an asset. This would be reported in the investing section of the statement of cash flows.

In a Statement of Cash Flows,payments to Acquire Debt Instruments