A noncash investing transaction should be disclosed in either a footnote or at the bottom of the statement of cash flows.

Question

Quizplus · Accepted Answer

A noncash investing transaction, such as the acquisition of property through the issuance of common stock, should be disclosed in a separate note or at the bottom of the statement of cash flows. This is because it does not involve the actual movement of cash and could potentially impact the analysis of the company's cash flows.

A Noncash Investing Transaction Should Be Disclosed in Either a Footnote