Under international accounting standards,cash received from interest (associated with interest revenue)can be shown on the statement of cash flows as an

Question

Quizplus · Accepted Answer

Cash received from interest can be shown on the statement of cash flows as an operating or investing activity, depending on the nature of the investment generating the interest income. If the interest income is received from an investment in debt securities or loans, it is considered an investing activity. If the interest income is received from customers or suppliers as part of normal business operations, it is considered an operating activity. Therefore, choice C is the best option as it covers both possibilities.

Under International Accounting Standards,cash Received from Interest (Associated with Interest