Asked by
Hanna Bekele
on Nov 18, 2024Verified
If $475,000 of bonds payable are sold at 101, $475,000 would be reported in the cash flows from financing activities section of the statement of cash flows.
Bonds Payable
Long-term liabilities representing borrowed funds that a company is obligated to repay to bondholders at a specified maturity date.
Financing Activities
Transactions related to raising capital and repaying investors, including issuing equity, debt, and paying dividends.
Cash Flows
The collective sum of cash flowing in and out of a company, which influences its liquidity.
- Understand the reporting connected to cash flows generated by financing activities.
Verified Answer
MI
Learning Objectives
- Understand the reporting connected to cash flows generated by financing activities.