Royer Corporation engaged in this transaction: Purchased land and building with a mortgage.
Indicate which section, if any, the above transaction would appear in, or relate to, on a statement of cash flows.

Question

Quizplus · Accepted Answer

The purchase of land and building with a mortgage is a noncash transaction, as it involves acquiring assets without an immediate cash outflow. Such transactions are reported in the schedule of noncash investing and financing transactions.

Royer Corporation Engaged in This Transaction: Purchased Land and Building