Asked by
Diana Karely
on Nov 14, 2024Verified
Issue of preferred shares for cash:
A) operating activities section
B) investing activities section
C) financing activities section
D) does not represent a cash flow
Preferred Shares
A type of stock that provides a fixed dividend and has priority over common stock in the event of a company's liquidation.
Financing Activities
Transactions and events where a business raises funds from debt and equity sources, reflected in the cash flow statement.
Issue for Cash
The process of a company issuing its shares to investors in exchange for cash as a method of raising capital.
- Identify the differences in cash flows related to operating, investing, and financing activities.
Verified Answer
BJ
Learning Objectives
- Identify the differences in cash flows related to operating, investing, and financing activities.