How does the purchase of non-current assets appear on the statement of cash flows?
A) as an outflow of cash under operating activities
B) as an inflow of cash under operating activities
C) as an inflow of cash under investing activities
D) as an outflow of cash under investing activities

Question

Quizplus · Accepted Answer

The purchase of non-current assets is recorded as an outflow of cash under investing activities on the statement of cash flows, reflecting the use of cash to acquire long-term assets that will be used in the business.

How Does the Purchase of Non-Current Assets Appear on the Statement