FlintCo purchases additional office equipment to better serves its customers.This cash purchase is reported in the statement of cash flows as what type of activity?
A)Company activity.
B)Investing activity.
C)Financing activity.

Question

Quizplus · Accepted Answer

The purchase of office equipment is considered an investing activity, as it involves the acquisition of a long-term asset that will be used in the business operations.

FlintCo Purchases Additional Office Equipment to Better Serves Its Customers