The appropriate section in the statement of cash flows for reporting the receipt of cash dividends from investments in securities is:
A)Operating activities.
B)Financing activities.
C)Investing activities.
D)Schedule of noncash investing or financing activity.
E)None of these as this is not reported on the statement of cash flows.

Question

Quizplus · Accepted Answer

Cash dividends received from investments in securities are reported under operating activities in the statement of cash flows, as they are considered part of the company's operating income.

The Appropriate Section in the Statement of Cash Flows for Reporting