Which of the following is not classified among the investing activities in a statement of cash flows?
A)Purchase of marketable securities for cash.
B)Collection of the principal amount of cash loans made to others.
C)Investment of cash made in the business by the owners.
D)Purchase of plant assets for cash.

Question

Quizplus · Accepted Answer

Investing activities in a statement of cash flows include purchasing or selling long-term assets, such as plant assets or marketable securities, and collecting principal amounts on loans made to others. However, the investment of cash made in the business by the owners would fall under financing activities, as it relates to the inflow of cash from equity financing. Therefore, option C is not classified among the investing activities in a statement of cash flows.

Which of the Following Is Not Classified Among the Investing