Answer:
The correct answer is the second option: is reported in the investing section of a statement of cash flows.
Step-by-step explanation:
To begin with, a statement of cash flows is the name given in the business world to refer to the financial statement that shows how changes are made in the balance sheet accounts and how income affect cash and cash equivalents. Moreover, the main purpose of this financial tool is to show the company its ability to pay bills regarding the topics of how much cash and cash equivalents actual are in the company's possession.
Secondly, the cash flow statement is partitioned into three different segments: cash flow resulting from operating activites, from investing activities and from financing activities. The second one, cash flow resulting from investing activities implies the situation of land acquisition.