Which of the following would be an example of an investing activity on the cash flow statement?
A)Issuance of bonds payable
B)Purchase of bonds payable
C)Sale of common shares
D)Receipt of dividend income from investments

Question

Quizplus · Accepted Answer

The purchase of bonds payable would be considered an investing activity on the cash flow statement. Issuance of bonds payable (A) would be considered a financing activity, sale of common shares (C) would be considered a financing activity, and receipt of dividend income from investments (D) would be considered an operating activity.

Which of the Following Would Be an Example of an Investing