The appropriate section of a cash flow statement to show the money spent by a company to buy back its own stock is the financing section.

Question

Quizplus · Accepted Answer

The financing section of a cash flow statement shows the inflows and outflows of cash related to financing activities, such as issuing or buying back stocks, paying dividends, and taking out or repaying loans. Therefore, the money spent by a company to buy back its own stock would be shown in the financing section.

The Appropriate Section of a Cash Flow Statement to Show