We report interest paid on bonds or notes payable with operating activities rather than financing activities.

Name: We report interest paid on bonds or notes payable with operating activities rather than financing activities.
Brand: Quizplus
Rating: 4.8 (50 reviews)

Question

Quizplus · Accepted Answer

The interest paid on bonds or notes payable is considered an operating expense and is reported as part of operating activities in the cash flow statement. It does not fall under financing activities which involves issuing or repurchasing equity or debt securities.

We Report Interest Paid on Bonds or Notes Payable with Operating