In a statement of cash flows,payments to acquire bonds or mortgages of other entities should be classified as cash outflows for
A) lending activities.
B) operating activities.
C) investing activities.
D) financing activities.

Question

Quizplus · Accepted Answer

Payments to acquire bonds or mortgages of other entities represent investments and should be classified as cash outflows under investing activities in the statement of cash flows.

In a Statement of Cash Flows,payments to Acquire Bonds or Mortgages