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Long Ltd Received Cash from Various Activities as Follows: $50,000 from from Interest

Question 30

Multiple Choice

Long Ltd. received cash from various activities as follows: $50,000 from interest earned on bonds it had purchased from IBM; $200,000 from a sale of inventory to GM; and $1,000,000 from a sale of its own shares to Manulife. How would these items appear on the cash flow statement?


A) Operating activities $50,000; investing activities $200,000; financing activities $1,000,000.
B) Operating activities $200,000; investing activities $1,000,000; financing activities $50,000.
C) Operating activities $1,000,000; investing activities $50,000; financing activities $200,000.
D) Operating activities $(50,000) ; investing activities $(200,000) ; financing activities $(1,000,000) .
E) Operating activities $200,000; investing activities $0; financing activities $1,050,000.

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