The cash amounts of purchases and sales of investments appear in which section of the statement of cash flows?

Question

Quizplus · Accepted Answer

The cash amounts of purchases and sales of investments would be categorized as investing activities on the statement of cash flows, along with other transactions relating to the acquisition and disposal of long-term assets. Operating activities generally include cash inflows and outflows from the primary business operations of the company, while financing activities encompass cash flows from borrowing or issuing equity, as well as payments of dividends or repayments of debt. Noncash investing and financing activities would involve transactions that occur without any direct exchange of cash, such as issuing stock in exchange for property.

The Cash Amounts of Purchases and Sales of Investments Appear