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Tia'rei Fesagaiga-Yagin
on Nov 02, 2024

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Bank borrowings are normally classified in the statement of cash flows as:

A) financing activities, except for bank overdrafts that are repayable on demand.
B) financing activities, except for bank overdrafts that are repayable on demand and which form an integral part of an entity's cash management.
C) operating activities, except for bank overdrafts that are repayable on demand and which form an integral part of an entity's cash management.
D) investing activities, except for bank overdrafts that are repayable on demand and which form an integral part of an entity's cash management.

Bank Borrowings

Funds that have been obtained from a bank through various types of loans.

Cash Management

The practice of collecting, managing, and investing cash in a way that meets the financial objectives of the organization.

Financing Activities

Transactions involving raising capital or repaying funds to owners and creditors, reflected in a firm's cash flow.

  • Determine and allocate cash flows linked to activities of financing.
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Cache StoneNov 03, 2024
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