Which of the following is reported as an operating activity in the statement of cash flows?
A) The payment of dividends.
B) The sale of office equipment.
C) The payment of interest on long-term notes.
D) The issuance of a stock dividend.

Question

Quizplus · Accepted Answer

The payment of interest on long-term notes is reported as an operating activity in the statement of cash flows, as it reflects the company's ongoing operational costs. The payment of dividends is reported as a financing activity, the sale of office equipment is reported as an investing activity, and the issuance of a stock dividend is not reported in the statement of cash flows at all.

Which of the Following Is Reported as an Operating Activity