Exxon Corporation declared and paid $90,000 of dividends to its shareholders during Year 3.The statement of cash flows classifies the transaction as a(n)

Name: Exxon Corporation declared and paid $90,000 of dividends to its shareholders during Year 3.The statement of cash flows classifies the transaction as a(n)
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Question

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Dividends paid to shareholders are classified as financing activities in the statement of cash flows, as they involve distribution of profits to the owners of the company.

Exxon Corporation Declared and Paid $90,000 of Dividends to Its