Assume that the Fitzgerald Corporation uses the indirect method to depict cash flows. Indicate where, if at all, long-term debt retired with cash would be classified on the statement of cash flows.
A) Operating activities section.
B) Investing activities section.
C) Financing activities section.
D) Does not represent a cash flow.

Question

Quizplus · Accepted Answer

Long-term debt retired with cash is classified under the financing activities section of the statement of cash flows, as it involves cash outflows related to financing the company's operations.

Assume That the Fitzgerald Corporation Uses the Indirect Method to Depict