A Company Acquired Some Land (Independently Appraised at $12,000)and Paid

question 63

Multiple Choice

A company acquired some land (independently appraised at $12,000) and paid for it by issuing 1,000 shares of its common stock (par $10 per share;no market price was quoted) .How should this be reported on the statement of cash flows?

• A)Report $12,000 as inflow and outflow of cash.
• B)Report $12,000 as an inflow of cash.
• C)The transaction should not be reported on the statement of cash flows.
• D)Report in a schedule of significant noncash investing and financing activities.

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Definitions:

Eating Binges

Periods of excessive food consumption generally not driven by hunger but emotional factors, often followed by guilt or shame.

Overweight

Having more body weight than is considered normal or healthy for a certain height.

Emotional Problems

Difficulties in managing one's emotions that significantly interfere with daily functioning or wellbeing.

Eating Binges

Episodes of excessive food consumption within a short time period, often accompanied by a sense of loss of control over eating behaviors.