On the statement of cash flows, which of the following items would be reported in the financing activities section?
A)Cash paid for interest
B)Cash received from customers
C)Cash received from a sale of treasury stock
D)Cash paid for operating expenses

Question

Quizplus · Accepted Answer

Cash received from a sale of treasury stock would be reported in the financing activities section because it represents a transaction that affects the company's capital structure. Choices A and D would be reported in the operating activities section because they relate to the company's day-to-day operations. Choice B would be reported in the investing activities section because it represents cash received from the sale of an asset.

On the Statement of Cash Flows, Which of the Following