The sale of land is reported in the operating section of the statement of cash flows.

Question

Quizplus · Accepted Answer

The sale of land is considered an investing activity and therefore would be reported in the investing section of the statement of cash flows. The operating section reports cash flows from day-to-day business activities, such as sales of goods or services, while the investing section reports cash flows from investments in assets, such as property, plant, and equipment.

The Sale of Land Is Reported in the Operating Section