Royer Corporation engaged in this transaction: Transferred cash to money market account.
Indicate which section, if any, the above transaction would appear in, or relate to, on a statement of cash flows.
A) Does not represent a cash flow
B) Operating activities section
C) Investing activities section
D) Financing activities section

Question

Quizplus · Accepted Answer

Transferring cash to a money market account does not represent a cash flow because it is simply a reallocation of cash within the company's accounts, not an inflow or outflow of cash.

Royer Corporation Engaged in This Transaction: Transferred Cash to Money