Issuing common stock in exchange for a patent will neither be reported within the cash flow statement nor disclosed.

Name: Issuing common stock in exchange for a patent will neither be reported within the cash flow statement nor disclosed.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Issuing common stock in exchange for a patent should be reported under financing activities section of the cash flow statement as it involves the issuance of equity securities. It should also be disclosed in the notes to the financial statements.

Issuing Common Stock in Exchange for a Patent Will Neither