Acquisitions of treasury stock would be reported on a statement of cash flows as:
A) operating activities.
B) investing activities.
C) financing activities.
D) noncash activities.

Question

Quizplus · Accepted Answer

Acquisitions of treasury stock are considered financing activities because they involve the use of cash to buy back shares of the company's own stock, which reduces the amount of outstanding shares and may have an effect on the company's capital structure.

Acquisitions of Treasury Stock Would Be Reported on a Statement