For each of the following items, indicate whether it would be classified as either an (O) operating activity, an (I) investing activity, a (F) financial activity, or a significant (N) noncash financing and investing activity.
-Purchased a warehouse in exchange for shares of its stock.
A)O
B)N
C)I
D)F

Question

Quizplus · Accepted Answer

Purchasing a warehouse in exchange for shares of its stock is considered a significant noncash financing and investing activity because it involves acquiring a long-term asset without the immediate use of cash, and it involves financing through the issuance of stock.

For Each of the Following Items, Indicate Whether It Would