How will a company classify a payment for the acquisition of land on its statement of cash flows?
A)Cash provided from operations
B)Cash used in financing activities
C)Cash provided from investing activities
D)Cash used for investing activities

Question

Quizplus · Accepted Answer

Payments for the acquisition of land are classified as cash used for investing activities on the statement of cash flows because they represent an investment in long-term assets.

How Will a Company Classify a Payment for the Acquisition