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Rocky Racette
on Nov 13, 2024

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Which of the following would not be found in a schedule of noncash investing and financing activities, reported at the end of a statement of cash flows?

A) equipment acquired in exchange for a note payable
B) bonds payable exchanged for capital stock
C) purchase of treasury stock
D) capital stock issued to acquire fixed assets

Noncash Investing

Investment activities that do not involve the immediate outflow of cash but may involve the exchange of non-cash assets or liabilities.

Treasury Stock

Shares that were issued and subsequently reacquired by the issuing corporation, reducing the amount of outstanding stock on the company’s shareholders’ equity account.

Note Payable

A financial obligation in the form of a written promissory note that specifies the principal amount, interest rate, and due date.

  • Identify non-cash transactions and their representation in the cash flow statement.
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JM
James MccainNov 16, 2024
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