Cash paid for preferred stock dividends should be shown on the statement of cash flows under:

Name: Cash paid for preferred stock dividends should be shown on the statement of cash flows under:
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Question

Quizplus · Accepted Answer

Cash paid for preferred stock dividends is considered a financing activity, as it involves payments to shareholders who have invested in the company through preferred stock. Therefore, it should be shown on the statement of cash flows under financing activities.

Cash Paid for Preferred Stock Dividends Should Be Shown on the Statement