Use the following codes to indicate how the cash flow effect, if any, of each transaction or event would be reported on a statement of cash flows if the operating activities section is prepared using the indirect method. (Choices may be used more than once.)
-sold shares for cash

Question

Quizplus · Accepted Answer

Selling shares for cash is considered a financing activity, as it involves raising capital for the business. This results in an inflow of cash, which is reported in the financing activities section of the statement of cash flows.

Use the Following Codes to Indicate How the Cash Flow