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Classifying Cash Flows

Identify the type of cash flow activity for each of the following events (operating, investing, or financing). The company determines net cash flow from operating activities by the indirect method:

a. Net income
b. Paid cash dividends
c. Issued common stock
d. Issued bonds
e. Redeemed bonds
f. Sold long-term investments
g. Purchased treasury stock
h. Sold equipment
i. Issued preferred stock
j. Purchased buildings
k. Purchased patents

WORD BANK:
- financing
- investing
- operating

1 Answer

7 votes
A. operating
B. financing
C. financing
D. financing
E. financing
F. investing
G. financing
H. investing
I. financing
J. investing
K. investing
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