Which of the following statements is not correct?
A)Issuance of common stock creates a financing activities cash inflow.
B)Payment of a common stock cash dividend creates an operating activities cash outflow.
C)Purchase of treasury stock creates a financing activities cash outflow.
D)Issuance of preferred stock creates a financing activities cash inflow.

Question

Quizplus · Accepted Answer

Payment of a common stock cash dividend creates a financing activities cash outflow, not an operating activities cash outflow.

Which of the Following Statements Is Not Correct