Which of following is classified as part of 'investing activities' in the statement of cash flows?
A) gain on sale of investments.
B) depreciation of non-current assets.
C) proceeds from an issue of shares.
D) acquisition of non-current assets.

Question

Quizplus · Accepted Answer

Acquisition of non-current assets is classified as part of investing activities in the statement of cash flows. Investing activities include the purchase and sale of long-term assets such as property, plant, and equipment, as well as investments in securities such as stocks and bonds. Gains on sale of investments would also be included in investing activities, but proceeds from an issue of shares would be classified as part of financing activities. Depreciation of non-current assets is a non-cash expense and would be added back to net income in the operating activities section.

Which of Following Is Classified as Part of 'Investing Activities