Indicate where the event purchase of land and a building with a mortgage would appear, if at all, on the indirect statement of cash flows.
A) Operating activities section
B) Investing activities section
C) Financing activities section
D) Does not represent a cash flow

Question

Quizplus · Accepted Answer

The purchase of land and a building with a mortgage does not involve an immediate cash outflow, as it is financed through a mortgage, so it does not appear as a cash flow in the statement.

Indicate Where the Event Purchase of Land and a Building