Asked by
Spencer Brought
on Nov 18, 2024Verified
If 800 shares of $40 par common stock are sold for $43,000, the $43,000 would be reported in the cash flows from financing activities section of the statement of cash flows.
Common Stock
Equity ownership in a corporation, giving shareholders voting rights and a share in the company's profits, usually through dividends.
Financing Activities
Transactions and events where cash is raised for the business through borrowing or issuing equity, reflected in the cash flow statement.
Cash Flows
The movement of money into and out of a business, indicating the company's ability to generate cash from operations, investments, and financing activities.
- Identify the reporting of cash flows related to financing activities.
Verified Answer
IH
Learning Objectives
- Identify the reporting of cash flows related to financing activities.