Which one of the following sections on a statement of cash flows is used to report the cash flow effects of buying and selling property,plant,and equipment?
A)Operating Activities
B)Investing Activities
C)Financing Activities
D)Profit Activities

Question

Quizplus · Accepted Answer

The section on investing activities is used to report the cash flow effects of buying and selling property, plant, and equipment. This section also includes other long-term assets, such as investments in securities and acquisitions of other businesses. The operating activities section reports cash flows related to the company's primary operations, while the financing activities section reports cash flows related to the company's capital structure and financing activities. The profit activities section is not a commonly recognized section in a statement of cash flows.

Which One of the Following Sections on a Statement of Cash