Which of the following cash flow activities are regarded as investing cash flows?
A) interest paid.
B) income taxes paid.
C) acquisition of subsidiary net of cash acquired.
D) proceeds from issue of debentures.

Question

Quizplus · Accepted Answer

The acquisition of a subsidiary is a long-term investment and therefore falls under investing cash flows. Interest paid and income taxes paid are operating cash flows, and proceeds from issue of debentures are financing cash flows.

Which of the Following Cash Flow Activities Are Regarded as Investing