Cash flows from investing activities include:
A)Proceeds from the issuance of common stock.
B)Cash outflows from acquiring land.
C)Retirement of bonds payable.

Question

Quizplus · Accepted Answer

Cash flows from investing activities include cash inflows and outflows related to the acquisition and disposal of long-term assets such as property, plant, and equipment, and investments. Purchase of land falls under investing activities and is considered a cash outflow. Proceeds from the issuance of common stock fall under financing activities, and retirement of bonds payable falls under operating activities.

Cash Flows from Investing Activities Include