Which of the following will be categorized as an investing activity on the statement of cash flows?
A) Purchase of land with a mortgage
B) Cash paid for purchase of new machinery
C) Cash paid for purchase of office supplies
D) Cash contribution by owner

Question

Quizplus · Accepted Answer

Investing activities include transactions involving the acquisition or disposal of non-current assets, such as property, plant, and equipment. Therefore, cash paid for the purchase of new machinery falls under investing activities.

Which of the Following Will Be Categorized as an Investing