The issuance of common stock would be included in the financing activities section when preparing a statement of cash flows.

Question

Quizplus · Accepted Answer

Issuance of common stock represents a source of cash, and financing activities section of the statement of cash flows captures transactions related to raising or repaying funds. Therefore, issuance of common stock is included in the financing activities section.

The Issuance of Common Stock Would Be Included in the Financing