Favorite Operating Activity Investing Activity Financing Activity
Determine whether the activities described in the following table.
Operating activity investing activity financing activity. Transactions must be segregated into the three types of activities presented on the statement of cash flows. The total sale proceeds are reported under investing activities section. The three categories of cash flows are operating activities investing activities and financing activities.
Differentiate between Operating Investing and Financing Activities. Investing activities include cash activities related to noncurrent assets. Operating investing and financing.
Purchase of another company. Proceeds from the sale of machinery is an example of cash derived from an investing activity. Cash payments for expenses.
Issuance of stock is a financing activity the resulting cash inflow is reported in financing activities section. Some cash flows relating to investing or financing activities are classified as operating activities. Operating Investing and financing activities and cash flows The statement of cash flows reports a companys cash inflows and outflows for a given accounting period by categorizing the companys sources and uses of cash as either operating investing or financing activities.
Cash payments for dividends. Cash received from notes payable. This Survey of Accounting video provides definitions and examples of operating investing and financing activities and wording for the Cash Flows Statement.
Repay long term debt. Buying a patent or copyright. Cash payments for land.