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Ingles Corp., a private company reporting under ASPE, engaged in the following transactions. For each transaction, indicate where, if at all, it would be classified on the statement of cash flows.
-Issue of preferred shares for cash:
A) operating activities section
B) investing activities section
C) financing activities section
D) does not represent a cash flow

Question

Quizplus · Accepted Answer

Issuing preferred shares for cash is classified under the financing activities section as it involves raising capital through equity.

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