Which of the following should theoretically be presented in a statement of changes in financial position only because of the all-financial-resources concept?
A) Conversion of preferred stock to common stock
B) Purchase of treasury stock
C) Sale of common stock
D) Declaration of cash dividend

Question

Quizplus · Accepted Answer

The conversion of preferred stock to common stock is a non-cash transaction that affects the financial position but not the cash flow, fitting the all-financial-resources concept.

Which of the Following Should Theoretically Be Presented in a Statement