Examples of financing activities on a statement of cash flows do NOT include:
A)issuing stock.
B)borrowing money.
C)buying treasury stock.
D)declaring stock dividends.

Question

Quizplus · Accepted Answer

Financing activities involve activities that affect the long-term liabilities and equity of a company. Issuing stock, borrowing money, and buying treasury stock are all examples of financing activities. Declaring stock dividends, on the other hand, is an example of an operating activity since it represents a distribution of profits to shareholders.

Examples of Financing Activities on a Statement of Cash Flows