As a requirement of GAAP the interest expense associated with a note payable is recorded in the operating activities of the cash flow statement.

Name: As a requirement of GAAP the interest expense associated with a note payable is recorded in the operating activities of the cash flow statement.
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Interest expense is recorded in the operating activities section of the cash flow statement because it is considered an operating expense.

As a Requirement of GAAP the Interest Expense Associated with a Note