Cash receipts from the sale of long-term assets, such as equipment and vehicles, are:

Question

Quizplus · Accepted Answer

Cash receipts from the sale of long-term assets are part of investing activities, as they represent a cash inflow from the disposal of a capital asset that is not part of the normal operations of the business. It is important to distinguish between operating and investing activities in the statement of cash flows, as they have different implications for the financial health and performance of the company.

Cash Receipts from the Sale of Long-Term Assets, Such as Equipment