Which of the following would be reported on a statement of cash flows as a financing activity?
A)Sale of equipment
B)Amortization expense
C)Collection of notes receivable
D)Purchase of treasury stock

Question

Quizplus · Accepted Answer

Purchase of treasury stock is a financing activity as it involves using funds from financing sources to buy back company's own shares. Sale of equipment, collection of notes receivable and amortization expense are reported on the statement of cash flows as investing, operating and non-cash activities, respectively.

Which of the Following Would Be Reported on a Statement