Which of the following would be reported on a statement of cash flows as a financing activity?
A)Distribution of stock dividend
B)Purchase of treasury stock
C)Interest paid on bonds payable
D)All of the above

Question

Quizplus · Accepted Answer

Purchase of treasury stock is classified as a financing activity, while distribution of stock dividend and interest paid on bonds payable are classified as operating activities and financing activities, respectively. Therefore, only option B (purchase of treasury stock) would be reported as a financing activity on the statement of cash flows.

Which of the Following Would Be Reported on a Statement