In which of the three activity categories of a statement of cash flows would each of the following items appear and do they represent a cash inflow or cash outflow?
Use the following abbreviations:
-Cash interest paid
A) Op Out = Operating Cash Outflow
B) Op In = Operating Cash Inflow
C) Inv Out = Investing Cash Outflow
D) Inv In = Investing Cash Inflow
E) Fin Out = Financing Cash Outflow F) Fin In = Financing Cash Inflow

Question

Quizplus · Accepted Answer

Cash interest paid is considered an operating cash outflow because it is a regular expense related to the core business operations.

In Which of the Three Activity Categories of a Statement